Readings
Author of the essay "Tragedy of the Commons"?
Who is Hardin?
The property of a good whereby one person’s use diminishes other people’s use.
What is Rivalry in Consumption
These are Excludable and Rival in Consumption
What are Private Goods?
An economist's term for changing incentives to force people to take externalities into account when making economic decisions.
What is Internalizing Externalities?
If a tax is levied on BUYERS, this curve will shift down.
What is the demand curve?
Author of "Capitalism and Freedom," and "The Relation between Economic and Political Freedom"
Who is Milton Friedman?
The property of a good whereby a person can be prevented from using it.
What is Excludability
These are NOT excludable, but Rival in Consumption.
What are Common Resources?
When government passes laws that prohibit or control economic behavior.
What are Regulations?
If a tax is levied on SELLERS, this curve will shift upward.
What is the supply curve?
Wrote "Property Rights and Human Rights"
Who is Paul Poirot?
A person who receives the benefit of a good but avoids paying for it.
What is a free rider?
These are NOT Rival in Consumption and NOT Excludable
What are Public Goods?
A positive externality, when factored into a supply and demand schedule, adds this.
What is social value?
What is the equilibrium point?
This work argued that governments should prevent resource depletion by committing to "mutual coercion, mutually agreed upon," including laws about how many children people can have.
What is Hardin's "Tragedy of the Commons?"
The uncompensated impact of one person’s actions on the well-being of a bystander.
What is externality?
These are Excludable but NOT Rival in Consumption.
What are Club Goods?
A negative externality, when factored into a supply and demand schedule, imposes this.
What is social cost.
The quantity for a good after factoring in the cost or benefit of externalities.
What is the optimum quantity?
This work argued that property rights and human rights are the same thing, and ideas such as the "right to a minimum wage" are foolish.
What is Poirot's "Property Rights and Human Rights?"
When the market inefficiently distributes goods due to negative externalities from certain actions.
What is market failure?
Examples of this include national security and government-funded scientific research.
What are public goods?
The proposition that if private parties can bargain without cost over the allocation of resources, they can solve the problem of externalities on their own.
What is the Coase Theory?
If the price of coffee beans goes up, the supply curve for coffee will increase. This shifter of supply is responsible.
What is input?