1. Explain how government can remove individuals from a prisoner’s dilemma setting.
2. Explain how to decide whether government is making an individual better off when it removes that individual from a prisoner’s dilemma setting.
3. Explain how government can abuse its powers in a prisoner’s dilemma setting.
4. Explain what the government cando to turn an inefficient outcome into an efficient one in the case of a negative externality.
5. Explain what the government cando to turn an inefficient outcome into an efficient one in the case of a positive externality.
6. State the case for government with respect to nonexcludable public goods.