Markets can provide private goods fairly effectively. These markets may not always be competitive and efficient (monopoly, for example), but at least the goods are provided for sale to consumers. But if a good is nonexcludable and nonrival, why won’t a market also provide it?
Suppose that there were a producer of milk in the community and the milk was nonexcludable. This means that the producer would provide milk to everyone who wanted milk, even if she didn’t pay for it.
It’s highly unlikely that the milk would ever be produced by a private firm whose objective is to maximize profits. The same would be true of a privately owned firm that sought to profit from installing street lamps around town. If a person could benefit from the light without having to pay, there’s no way for the firm to earn profit from it.
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About Ian P., Economics tutor on Chegg Tutors:
Western New England University,
Class of 2018
Economics major
Subjects tutored: Pre-Algebra,
English, Economics,
Study Skills, Writing, and
Basic Math
TEACHING EXPERIENCE
I work as a writing tutor in my schools writing center and through the
First Year Office as an economics tutor. I had to take a semester long intensive course on how to properly execute peer tutoring to be hired at the writing center, followed by further training from the First Year Office. While taking the tutoring seminar I had to observe the seasoned tutors, tutored under the guide of a seasoned tutor, and eventually began to tutor on my own.
I am working towards my tier one
CRLA (
College Reading &
Learning Association) certification and shall continue to work towards my tier two and tier three once I am a tier one certified tutor.
EXTRACURRICULAR INTERESTS
Outside of school I enjoy fine teas.
My favorite way to brew tea is gong fu style. My favorite tea?
Yes.
I'm an active member of my schools
Gender/
Sexuality Alliance and am currently working on publishing a
LGBT literary novel. I read all sorts of books in my free time. One day it may be some literary by
Tom Robbins, and the next it may be
The Ascent of Money by
Niall Ferguson.
Video games are also nice. My favorite games are the
Metal Gear series,
Dishonored,
Bloodborne,
Pokemon,
Mario Kart Wii, old school
Mario and
Donkey Kong, and
Civilization V.
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- published: 12 Apr 2016
- views: 4