The Lindahl model presupposes that the public good is delivered in such a way that everyone ____________ from it.

Principles of Economics (MindTap Course List)
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ISBN:9781305585126
Author:N. Gregory Mankiw
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Chapter12: The Design Of The Tax System
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The Lindahl model presupposes that the public good is delivered in such a way that everyone ____________ from it. 

Consider the diagram below which depicts a two-household community
consisting of household A and household B. The quantity of public good is
measured along the horizontal axis and the share of tax paid by HHA and
HHB measures the share of tax paid by HHA and HHB.
100%
O'
A's share
of taxes
B's share
of taxes
DA
100%
Transcribed Image Text:Consider the diagram below which depicts a two-household community consisting of household A and household B. The quantity of public good is measured along the horizontal axis and the share of tax paid by HHA and HHB measures the share of tax paid by HHA and HHB. 100% O' A's share of taxes B's share of taxes DA 100%
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