Question

CT On the basis of the three individual demand schedules below, and assuming these three people are the only ones in the society, determine (a) the market demand schedule on the assumption that the good is a private good and (b) the collective demand schedule on the assumption that the good is a public good Instructions: Enter your answers as whole numbers (in the gray-shaded cells). Individual #3 (a) Private Demand (b) Public Demand Individual #1 Individual #2 Qd Qd Price Qd Price Qd Price Qd Price Price 16 16 1 1 $ 16 16 1 $ C 14 0 14 2 2 14 14 2 1 12 4 3 12 12 3 12 10 7 4 10 1 10 4 10 2 5 5 8 8 10 2 6 13 6 6 6 6 3 7 4 16 4 4 7 8 2 8 2 6 2 19 2

plz answer for all gray boxes even if it has a number in it

Answer 1

Demand for public good is derived by the sum of individual willingness to pay for the given quantity.

PRIVATE DEMAND		PUBLIC DEMAND
Price	Qd	Price	Qd
16	(0+1+0)= 1	(10+16+12)= 38	1
14	(0+2+0)= 2	(8+14+10)=32	2
12	(0+3+1)= 4	(6+12+8)= 26	3
10	(1+4+2)=7	(4+10+6)= 20	4
8	2+5+3)=10	(2+8+4)= 14	5
6	(3+6+4)=13	(6+2)= 8	6
4	(4+7+5)= 16	4	7
2	(5+8+6)= 19	2	8