16. Economic theory suggests that there is in ideas. A) underinvestment B) appropriate investment C) overinvestment 17. The economic rationale for patents is based most directly on A) fully excludable goods B) rival goods C) increasing marginal costs D) decreasing marginal costs 18. In many developing countries mobile phones are basically A) a consumption good that has low utility B) a consumption good that has high utility C) an investment good with low returns Solution Hi, The correct answers are as follows: 16. overinvestment 17. fully ecludable goods Eplanation: In economics, a good or service is called excludable if it is possible to prevent people (consumers) who have not paid for it from having access to it. 18. a comsumtion good that has high utility.

1. 16. Economic theory suggests that there is in ideas. A) underinvestment B) appropriate
investment C) overinvestment 17. The economic rationale for patents is based most directly on
A) fully excludable goods B) rival goods C) increasing marginal costs D) decreasing marginal
costs 18. In many developing countries mobile phones are basically A) a consumption good that
has low utility B) a consumption good that has high utility C) an investment good with low
returns
Solution
Hi,
The correct answers are as follows:
16. overinvestment
17. fully ecludable goods
Eplanation: In economics, a good or service is called excludable if it is possible to prevent
people (consumers) who have not paid for it from having access to it.
18. a comsumtion good that has high utility