**True or false; explain:****(a)** In a competitive market, the incidence of an excise tax ("who really pays the tax") is on consumers, if demand is perfectly inelastic.**(b)** An art museum is a good example of a public good that is best provided through government support.**(c)** Public goods are a market failure because the cost of providing them cannot be measured - that is, the failure is on the producer-side of the potential market for public goods.

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Answered: (a) In a competitive market, the…

(a) In a competitive market, the incidence of an excise tax ("who really pays the tax") is on consumers, if demand is perfectly inelastic.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter11: Public Goods And Common Resources

Section11.2: Public Goods

Problem 2QQ

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(R) please answer asap.