In Figure 13.1, if two additional voters had demand curves equal to D 0 , what amount of the public good would tend to be provided by the democratic government? Which voters would be unlikely to promote a nonprofi t? Which would be the most likely?

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Look first at the "traditional" market model. . In the LR, the "marginal" firm will produce output q. S AC PF q firm $ 30 S mkt Figure 13.3 Entry Conditions into the Market for Nonprofit and For-Profit Firms