Economics (McConnell), 18th Edition

Chapter 16: Public Goods, Externalities, and Information Asymmetries

IN THIS CHAPTER YOU WILL LEARN:

1. How public goods are distinguished from private goods.



2. The method for determining the optimal quantity of a public good.



3. The basics of cost-benefit analysis.



4. About externalities (spillover costs and benefits) and the methods to remedy them.



5. How information failures can justify government interventions in some markets.