Question

question 1
a pizza is
a excludable and rival in consumption.
b excludable and nonrival in consumption.
c nonexcludable and rival in consumption
d nonexcludable and nonrival in consumption.

question 2
a positive externality
a is a benefit to the producer of the good.
b is a benefit to the consumer of the good.
c is a benefit to someone other than the producer and consumer of the good.
d results in an optimal level of output.

Explanation:

Question 1

• Excludable: Pizza is owned by those who pay for it.
• Rival in consumption: One person's consumption reduces availability for others.

Question 2

• Positive externality definition: It benefits a third - party not involved in production/consumption.

Answer:

Question 1: A. excludable and rival in consumption
Question 2: C. is a benefit to someone other than the producer and consumer of the good