Question
Which of the following is/are characteristics of a
Public good? 1)Non-excludability 2)Non rival Consumption 3)Non rejectable Select the correct answer using the code given below:Solution
Public goods are goods that can be consumed simultaneously by a large number of people without the consumption by one imposing an opportunity cost on others. The characteristics of a public good: ●Non excludability i.e., the citizens can enjoy its benefits at no explicit financial cost. ●Non rival consumption i.e., the marginal cost of supplying this public good to an extra citizen is zero. ●Non-Rejectable i.e., collective supply for all citizens means that it cannot be rejected.
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