If tuition is held below equilibrium price, then the conditions thatwill arise from such decision will greatly impact both the state universitiesas well as the students themselves. Thecost of reducing tuition means that state universities will almost immediatelyhave a higher influx of applicants who would be attracted by the low cost ofeducation. Secondly, the normal spaceused to educate students effectively will no longer prove to beproductive. This means that class sizesat the universities would be relatively larger, affecting student relations,security and learning outcomes. Thirdly,the university would have to make certain decisions regarding staffing,expansion and resources, for example, to meet the additional needs created iftuition is held below equilibrium price.
Additionally, measures would have to be taken to halt the addition ofstudents to particular classes. On theother hand, students will have difficulty taking the classes they prefer. Using the scenario mentioned above, education would not really be”equally accessible” as the sudden spike in applicants then forces stateuniversities to then have to change the process by which applicants arefiltered and admitted. As an example, byraising the required grade point average some students with certain grades thatwould have been considered suitable would now not be allowed to enroll. Therefore, creating diversity amongst theapplicants there would be some who felt they were unjustly judged and not givena fair opportunity should their enrollment be rejected. Also, students who would have desired toattend a university within the state they are originally from due to theirdesire of being close to home, would now have to apply to an out of stateuniversity or community college thus creating unbudgeted expenses to theirfamilies as well as themselves.
Anotherexample would be that the university’s dorm rooms, their food services programsand even parking spaces which are provided for both staff and students will nowbe strained beyond its normal threshold due to the high invasion that is not apart of its norm.The private market for flu vaccinationswould produce an inefficient outcome as we as human being we tend to makechoices that are not necessarily the most wise, efficient and correct one. With the privatization of the flu vaccines,the price will vary amongst most companies and there will be persons in termsof their financial status that choose to get the shots or not. Also, if there is a large amount ofparticipants in getting vaccine, this can result in a shortage which may causethe price for the drug to increase to an amount that may or may not beaffordable. An example would pertain totwo different families both have two children, and if one belongs to the lowerincome bracket that couldn’t afford that flu vaccine as appose to the one in the higher income bracket, then the resultingeffect would differ. Should the childrenof both of these families attend the same school and are in the same classes eventhough one set has been vaccine and the other is not, if they are both exposedto the virus from other classmates the low income child would get sicker muchfaster than the other.
This results asthey are occupying and sharing the same environment with others who may notalso be able to acquire the vaccine or others who can afford but because of theparents’ decisions to choose not to get the vaccine has exposed a viral effecton the entire class as they are together for long periods of time.2. Thegovernment involvement can achieve efficient quantity of vaccinations as if itmade to be a public good that is made mandatory for all to be given, whether ata standardized low price or free to all.
This involvement means that the government can have control of the vastamount of vaccine needed to be administered to all citizens with having ashortage or even exasperating all their resources. The controlled administering of thevaccination forces all to be vaccine should there be the willing and voluntaryparticipants or those who oppose and object to getting the fluvaccination. If the flu vaccination ismade to be a public good, this allows the government to control and or create preventativemeasures that can curb an out-break of the virus which can result in an influxof children getting sick, infecting others at school or home or other personsin the community developing the virus leading to long term illness such apneumonia and having to be hospitalized.
This outbreak can have a disastrous effect as is can result in a epidemicwhere hospitals are overcrowded with patients and over worked employees.3. Privategood – is a good that is consumed by a single person or households; a good thatis rival in consumption and excludable. It is an item that yields positivebenefits to people.
An example is apiece of clothing. As the owner of thisitem, one can prevent other from using it by exercising private property rightsunless it is paid for by the other party. Publicgood – is a good that is available for everyone to consume, regardless of whopay and who doesn’t; it is a good that is both non-rival in consumption and non-excludablein that no one individual can be effectively excluded from its use. An example is street lighting.
This cannot be owned by any one person as itis deemed invaluable to all as it provides a safe haven in the dark andallowing safe travel during unkind conditions.