罗森第九版英文《财政学》课件chap004

1、CHAPTER 4,Public Goods,Copyright 2010 by the McGraw-Hill Companies, Inc. All rights reserved.,McGraw-Hill/Irwin,Characteristics of Goods,Excludable vs. Nonexcludable Excludable preventing anyone from consuming the good is relatively easy Nonexcludable preventing anyone from consuming the good is eit

2、her very expensive or impossible Rival vs. Nonrival Rival once provided, the additional resource cost of another person consuming the good is positive Nonrival once provided, the additional resource cost of another person consuming the good is zero,0,Types of Goods,PRIVATEGOODS,PUBLICGOODS,COMMONRES

3、OURCES,NATURAL MONOPOLY,Noteworthy Aspects of Public Goods,Even though everyone consumes the same quantity of the good, it need not be valued equally by all Classification as a public good is not absolute; it depends on market conditions and the state of technology impure public good A commodity can

4、 satisfy one part of the definition of a public good but not the other Some things that are not conventionally thought of as commodities have public good characteristics Private goods are not always provided only by the private sector publicly provided private goods Public provision of a good does n

5、ot necessarily mean that it is also produced by the public sector,Some Other Public Goods,Basic research Programs to fight poverty Uncongested non-toll roads Fireworks display,Efficient Provision of Private Goods,0,DfA,DfE,DfA+E,0,Sf,$,Quantity of Pizza,4-7,Pareto Efficiency Private Goods Case,MRSfa

6、 = Pf/Pa Set Pa = $1 MRSfa = Pf DfA shows MRSfa for Adam DfE shows MRSfa for Eve Sf shows MRTfa Necessary condition for Pareto efficiency: MRSfaAdam = MRSfaEve = MRTfa,Efficient Provision of Public Goods,0,0,DrA,DrE,DrA+E,Sr,Quantity of Fireworks,$,4-10,Pareto Efficiency Public Goods Case,MRSfa = Pf

7、/Pa Set Pa = $1 MRSfa = Pf DfA shows MRSfa for Adam DfE shows MRSfa for Eve Sf shows MRTfa Necessary condition for Pareto efficiency: MRSfaAdam + MRSfaEve = MRTfa,Problems Achieving Efficiency,The Free-Rider Problem Solutions to the free-rider problem Perfect price discrimination Policy Perspective:

8、 Global Positioning System Do people free ride?,0,Laboratory Experiments and Free-Riding,How a typical experiment works Typical results People contribute about 50% of resources to provision of public good Contributions fall the more often the game is repeated Cooperation fostered by prior communicat

9、ion Contribution rates decline when opportunity cost of giving goes up “Warm-glow” giving,The Privatization Debate,Privatization taking services supplied by government and turning them over to the private sector Public v Private Provision: What is the right mix? Relative wage and materials costs Adm

10、inistrative costs Diversity of tastes,Distributional Issues,Commodity egalitarianism notion that some commodities ought to be made available to everyone,Public versus Private Production,Efficiency of private production Problems in comparing cost differences Incomplete contracts Competition to supply good or service Reputation building Policy Perspective: Should airport security be produced publicly or privately? Market Environment,Preference Revelation Mechanisms,TEve = MRTra