For each of the following goods, explain why a free-rider problem arises or how it is avoided. Sharing downloaded music A. is a private good B. does not have a free-rider problem C. has a free-rider problem that can be eliminated by charging people to download music O D. has a free-rider problem that cannot be eliminated because once music is downloaded, it is nonexcludable A Canada Day fireworks display A. does not have a free-rider problem B. has a free-rider problem that cannot be eliminated C. has a free-rider problem that can be eliminated by using taxes paid by area residents to finance the display D. is a private good 00
For each of the following goods, explain why a free-rider problem arises or how it is avoided. Sharing downloaded music A. is a private good B. does not have a free-rider problem C. has a free-rider problem that can be eliminated by charging people to download music O D. has a free-rider problem that cannot be eliminated because once music is downloaded, it is nonexcludable A Canada Day fireworks display A. does not have a free-rider problem B. has a free-rider problem that cannot be eliminated C. has a free-rider problem that can be eliminated by using taxes paid by area residents to finance the display D. is a private good 00
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Q6
![For each of the following goods, explain why a free-rider problem arises or how it is avoided.
Sharing downloaded music
OA. is a private good
B. does not have a free-rider problem
OC. has a free-rider problem that can be eliminated by charging people to download music
OD. has a free-rider problem that cannot be eliminated because once music is downloaded, it is nonexcludable
A Canada Day fireworks display
OA. does not have a free-rider problem
OB. has a free-rider problem that cannot be eliminated
OC. has a free-rider problem that can be eliminated by using taxes paid by area residents to finance the display
OD. is a private good](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fec895a1e-7954-41fa-8789-8f62380e314d%2F17adcd10-a75e-415b-9faa-2a1129fc6640%2F25engqa_processed.jpeg&w=3840&q=75)
Transcribed Image Text:For each of the following goods, explain why a free-rider problem arises or how it is avoided.
Sharing downloaded music
OA. is a private good
B. does not have a free-rider problem
OC. has a free-rider problem that can be eliminated by charging people to download music
OD. has a free-rider problem that cannot be eliminated because once music is downloaded, it is nonexcludable
A Canada Day fireworks display
OA. does not have a free-rider problem
OB. has a free-rider problem that cannot be eliminated
OC. has a free-rider problem that can be eliminated by using taxes paid by area residents to finance the display
OD. is a private good
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