PUBLIC GOOD:

There are 2000 people, who benefit from a PUBLIC good with marginal benefit = 10 - 0.01q. The marginal cost of the PUBLIC good = 3000 +q.

a) Find the qm, which is the amount of the quantity that provided by this PUBLIC good IN THE MARKET. In other words, there will be NO cooperation among those 2000 people. Is this under-provided by this market? Why?

b) Find the dead weight loss (hint: need to solve EFFICIENT (MSB = MC) level first, which is differ to part a)