1. (06.03 MC) Which of the following combinations can lead to the tragedy of the commons? (5 points) O A significant positive consumption externality O A rival and non-excludable good O A rival and excludable good O A non-rival and non-excludable good O A non-rival and excludable good2. (06.03 LC) Why might a government supplement 3 private good's free market production and offer it without charge? (5 points) 0 The good offers a signicant positive externality. O The good would otherwise suffer the tragedy of the commons. O The good is imported. O The good is neither exoludable nor rival. O The goods marginal cost of production is zero. 3. (06.03 LC) Which of the following characterizes a pure public good? (5 points) O It is entirely paid for through taxes. Its production has no deadweight loss. One person consuming it prevents another's consumption, and nonpayers cannot be excluded. O Only the free market will supply it efficiently. O It is non-excludable and non-rival.4. (06.03 MC) A good with a very high social benefit is completely non-excludable. To achieve social efficiency, the government will (5 points) O allow the free market to clear at the natural equilibrium impose a per-unit production tax O either directly provide or regulate the quantity of the good make the good artificially scarce to allow supplier profits impose a per-unit consumption tax5. (06.03 MC) Which of the following describes a good that is excludable but non-rival in terms of the consumption of the good? (5 points) O Private with a negative production externality Artificially scarce O Directly produced by the government in every case Underused by society Public with a high marginal cost to society