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Jocel Flores
on Oct 27, 2024

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Everyone benefits from street lighting,yet the marginal benefit to any one individual usually falls short of the marginal cost.This is an example of:

A) individual actions whose side effects are not properly taken into account by the market.
B) one party preventing mutually beneficial trades in an attempt to capture a greater share of resources for itself.
C) the unsuitability of some goods for efficient management by markets.
D) regulating self-interest.

Street Lighting

A service provided, often by local governments, that involves the installation and maintenance of public lighting along streets and in public areas for safety and visibility.

Marginal Benefit

The additional benefit derived from consuming or producing one more unit of a good or service.

Marginal Cost

The cost involved in generating an extra unit of a product or service.

  • Understand the concept of public goods and externalities as challenges to market efficiency.
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Alexcia ArreolaNov 03, 2024
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