Asked by Jonathan Miller on Jul 24, 2024
Verified
Public goods are nonrival in ________ and their ________ are nonexcludable.
A) consumption; costs
B) production; benefits
C) consumption; benefits
D) production; costs
Public Goods
Goods that are non-excludable and non-rivalrous, meaning they can be used by everyone and one person's use does not reduce availability to others, examples include public parks and national defense.
Nonrival Consumption
A characteristic of certain goods where the consumption by one individual does not reduce availability to others, typical of public goods.
Nonexcludable
A characteristic of a good or service that does not allow the provider to prevent its use by individuals who have not paid for it.
- Acquire a clear understanding of the characteristics and differences between public and private goods.
- Differentiate goods on the basis of rivalry and exclusivity, distinguishing rival from nonrival, and excludable from nonexcludable.
Verified Answer
NS
No stop I swear to gosh stopJul 26, 2024
Final Answer :
C
Explanation :
Public goods are nonrival in consumption, meaning multiple people can consume the good without diminishing its availability to others, and their benefits are nonexcludable, meaning it is not feasible to exclude anyone from using the good.
Learning Objectives
- Acquire a clear understanding of the characteristics and differences between public and private goods.
- Differentiate goods on the basis of rivalry and exclusivity, distinguishing rival from nonrival, and excludable from nonexcludable.