公共产品边际收益与边际成本1.pptVIP

Government intervention;Taxation Subsidies Buffer stocks Pollution permits State provision Regulation – quality quantity controls (quotas) Extending property rights Competition policy Price stabilization – to avoid inflation ;Characteristics of Private goods – Excludable– you must pay to consume ex. a meal in a restaurant is clearly a private good. Rival: the consumption by one person reduces the amount for others . Ex scarce resources are used up in producing supplying the good or service. You order pizza from pizza hut the pizza is no longer available for someone else Rejectability: Private goods services can be rejected - if you dont like the soup on the college or school menu, you can use your money to buy something else;This is where the government own businesses Public goods – these are services that are provided by the gov’t. Pure public goods have the following features- Non excludability – everyone can consume the goods whether they pay or not Non rivalry in consumption = consumption by one person does not reduce the availability for others (ex. Street lighting national defence ;Advantages Provides jobs which are usually protected so reduces unemployment Finite resources such as water and energy can be guaranteed and controlled Able to provide essential services to the whole country ;goods (it is a near public good) Can find Are non-pure public goods – these are also known as quasi-public ways to exclude people from consuming them Semi-non-rival: up to a point, extra consumers using a park, beach or road do not reduce the amount of the product available to other consumers Additional consumers may reduce the amount if these places are crowded Semi excludable: it is possible but often difficult or expensive to exclude non-paying consumers. E.g. fencing a park or beach and charging an entrance fee; ;陕候洒八益役腿芽唬酪耽文声轻菇旷蚕全狸诅拙挤凛勤蔬恢烤掩若灌骄钢公共产品边际收益与边际成本1Lesson I-6. Price and Quantity Controls;Private Goods Ice cream cones Clothing Congested toll