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Why is the market demand curve for public goods calculated as a vertical summation of individual demand​ curves?
A. because public goods require vertical summation to account for the higher level of fairness compared to private goods.
B. because public goods are finite in availability of​ consumption, so the vertical summation accounts for the limit.
C. because the public good is​ non-rival, so you and others can consume every unit of the good at the same time.
D. because public goods are the opposite of private​ goods, therefore the summing must be done similar to club goods.

Respuesta :

Answer:

c

Explanation:

A public good is a good that is non excludable and non rivalrous. Everyone has assess to the statue and because one person is enjoying the view of the statue does not means another person cannot enjoy the view of the statue. The demand curve for public goods is summed vertically because all individuals can consume every unit of the good at the same time.

A private good is a good that is excludable and rivalrous. They are usually exchanged in the market by private sector businesses. It is only you who purchased the ferrari and those you allow that can use the ferarri.

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