Discussion Topic As you have learned, there are times when the market "fails" to provide the optimal amount of a good or service

• Is education a public good?

Education is absolutely a public good with certain caveats. I think its good as long as it is political/opinion free and sticks to the course subject. 

• Does education have external benefits? If so, what are some of those public benefits? In your opinion are the external benefits large or small? Why?

Yes, education has lots of external benefits. It shows who's going to be a driver and who's going to be a rider, whether you're going to drive the car or just ride along. Education brings out the innovators, entrepreneurs, the doers in society. I'd consider the external benefits to be large because it defines us.

• What should government do to promote the efficient provision of products that have external benefits?

Initially the government should just stay out of things. How does the government decide and who are they to decide what is an external benefit?

• If you think that government should put more resources into education, what might be some of the opportunity costs of that decision?

The government could put more resources into education by making sure that the money gets to the classroom, not to political and administrators all the way up the line to the very top.

• How would an economist determine the right amount of government support for education?

It would probably depend on the economist and how much the economist thought the government should be involved in education.