For which of these goods is it likely that a private provider could profit in the long
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Question:
For which of these goods is it likely that a private provider could profit in the long run by selling a socially efficient amount, selling all the units at the same price? "Long run" means a period long enough to include all setup costs, so that no costs are sunk. Explain and justify your answers.
a. The service of a highway that is never congested.
b. Oil-fired electricity.
c. Online college education
Related Book For
Financial Accounting Tools for business decision making
ISBN: 978-0470534779
6th Edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
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