Econ Chapter 5 notes - Free rider problem… 1 You 2 Firm 3 Government/firm –regulations it takes more then the direct cost of the good to

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Chapter 5: I. Review 1. 2. The GDP grows by 1.7% during the last quarter The price system: - efficiency - competition - consumer sovereignty The most important out of theses three is Consumer Soverignty. Private good – only one person can use it. Rival consumption – Not every radio stations are commercial stations, some of them are public.
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Unformatted text preview: Free rider problem… 1. You 2. Firm 3. Government/firm –regulations it takes more then the direct cost of the good to produce that good., meaning when businesses produce that good they unleash side effects....
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This note was uploaded on 02/09/2011 for the course ECON 201 taught by Professor Coomber during the Fall '08 term at Community College of Baltimore County.

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