公共产品边际收益和边际成本1.docxVIP

2 2 iH Government intervention ■■ ■ ■ ■ ■ ■ ■ ■ ■ Method of Govt intervention ■faxati on Subsidies Buffer stocks Pollution permits State provision Regulation — quality quantity controls (quotas) Extending property rights Compe廿tion policy Price stabilization 一 to avoid inflation PAGE PAGE # Characteristics of Private goods -■Private Goods Characteristics of Private goods - ■ Excludable- you must pay to consume ex. a meal in a restaurant is clearly a private good. Rival: the con sumption by one person reduces the amount for others . Ex scarce resources are used up in producing supplying