Question

In: Economics

trash collection is typical service provided by most local government ,is it a pure public good?...

trash collection is typical service provided by most local government ,is it a pure public good?

a is this service a pure public good?

b should the city be engaged in trash collections activities? explain it

Solutions

Expert Solution

Pure public good

Those goods which are non-excludable and non-rivalrous in nature are considered as pure public good. Non-excludable means nobody can be excluded from consuming that good. Non-rivalrous means if one individual is consuming than availability of that good for other would not be reduced.

Part A

Trash collection cannot be considered as pure public good because it does not follow the characteristic of non-rivalrous. For example, when trash truck collects trash one by one, the opportunity for other gets reduced by some significant amount.

Part B

City should be engaged in trash collection activities as it helps in keeping the environment clean and fresh. Trash affects the productivity of economic agent indirectly. It saves money as the significant products in trash gets recycled. Thereby, it also saves the valuable resources of nature such as trees and water. Prevention of trash also deplete the level of greenhouse gas emissions which further helps in sustainable development.


Related Solutions

An internal service provided and used by a state or local government A. Results in expenditures...
An internal service provided and used by a state or local government A. Results in expenditures or expenses to buyer funds and revenues to seller funds. B. Requires recognition of an other financing source by the transferee fund and an other financing use by the transferor fund. C. Is the internal counterpart to a nonexchange transaction. D. Normally is displayed in the financial statements as a reimbursement.
A community has decided to provide mandatory trash collection service to its residents. It will require...
A community has decided to provide mandatory trash collection service to its residents. It will require 3 collection vehicles with capacity of 15 m3 to collect the solid waste from the community. It costs $350,000 to purchase each collection vehicle, and the local bank offers a loan of 3% per year. Each vehicle needs 1 driver to operate. The driver is paid $25/hour. The amortization rate for these vehicles is 6 years. The annual operation and maintenance costs for each...
Explain the concepts and compare them with examples Private good Pure Public good Impure Public good...
Explain the concepts and compare them with examples Private good Pure Public good Impure Public good In which of the above categories will you place Indian railways. Give reasons for your answer.
Question 1 As a public good, education is one of the most important government functions in...
Question 1 As a public good, education is one of the most important government functions in Bahrain and around the world. Because of external returns, market failures, or redistribution, governments have traditionally decided to be the majority providers of educational services. However, the optimal amount of government intervention in education markets depends on the extent of market failures in private provision of education and on the public returns to education. Answer the following questions: What are the sources of market...
Is the primary goal of most members of Congress good public policy or to be reelected? Is that good or bad for democratic government?
"Is the primary goal of most members of Congress good public policy or to be reelected? Is that good or bad for democratic government?"
How to increase the collection of outstanding taxes in local government councils
How to increase the collection of outstanding taxes in local government councils
Draw the market for trash pick-up by local government monopoly provider. Qd = 3000 – P....
Draw the market for trash pick-up by local government monopoly provider. Qd = 3000 – P. The Marginal Revenue for the provider is 3000 – 2Q. Marginal Cost = Q. NOTE P is measured in cents. What price would maximize total surplus? If the government were to privatize the trash collection What Quantity will the new monopolist produce? What will be the price? Show the profits (producer surplus) of the new private monopoly. Show the dead weight loss created by...
Draw the market for trash pick-up by local government monopoly provider. Qd = 3000 – P....
Draw the market for trash pick-up by local government monopoly provider. Qd = 3000 – P. The Marginal Revenue for the provider is 3000 – 2Q. Marginal Cost = Q. NOTE P is measured in cents. What price would maximize total surplus? If the government were to privatize the trash collection What Quantity will the new monopolist produce? What will be the price? Show the profits (producer surplus) of the new private monopoly. Show the dead weight loss created by...
Is there a paradox to the statement, the marginal cost of producing a pure public good...
Is there a paradox to the statement, the marginal cost of producing a pure public good is always positive, some consumers can enjoy the benefits of pure public goods at zero marginal costs?
discuss how the united states government has provided good, bad, or indifferent customer service to its...
discuss how the united states government has provided good, bad, or indifferent customer service to its customers i.e. individuals, businesses, states, etc. you may focus on a particular chapter in the book or take a more general approach. support your argument with facts, situations, customer service principles  
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT