There are many interesting ideas that are given in chapter 11.  This chapter talked a lot abut Public goods and common resources and how they should be used and dealt with.  One thing that Chapter 11 stressed is the fact that goods differ in whether they are excludable and whether they are rival in consumption.  A good is excludable if it is possible to prevent someone from using it.  This is a very interesting idea, and does happen in the real world.  There are products that are excludable because they are illegal and therefore cannot be used.  We also learned that a good is rival in consumption if one person's use of the good reduces other people's ability to use the same unit of good.  Markets work best for private goods, which can both be either excludable or rival in consumption, therefore a combination of both methods are seen as good and healthy for an economy.  Chapter 11 taught us however that public goods are neither rival in consumption or excludable.  A public good would be characterized by something that is provided to you, usually by the government.  For example, fireworks, national defense, and the creation of fundamental knowledge are all public goods.  Common resources on the other hand are rival in consumption but they are not excludable.

Chapter 10 talks a lot about externalities and how they affect other people.  Externalities exist in both negative and positive aspects.  However no matter if the externality is positive or negative it causes the market to allocate its resources and eventually it becomes inefficient, which is not good for a market.  There is also a debate as to what the Government should do in terms of externalities.  Governments try to step in by imposing taxes and subsidies in order to get rid of these externalities.  There is also the idea that people should step up for themselves and try to solve the problems of externalities without the governments help.  This is called the Coase theorem, it is similar to where people should pay a tip instead of paying a tax in order to get rid of taxes.  There is also the time where private parties can step in by themselves and try to fix the issue.  This is fine if there is a free market where everyone has the ability to benefit.

Chapter 6 talked a lot about how government can intervene and control prices. Consumers are rather ignorant and do not think about the current supply or demand for that good.  Chapter 6 shows us how both price ceilings and floors can affect the market. They can produce a shortage or surplus, depending on which one is applied.  This chapter also talked about taxes and how they are applicable to society.