Goods that are either collective consumption goods or nonexcludable goods or both combined cannot be produced by the market.

Question

Quizplus · Accepted Answer

While it may be more challenging for the market to produce collective consumption goods or nonexcludable goods, it is not impossible. For example, parks and public libraries are collective consumption goods that are often provided by the government but could be provided by the market. In addition, some nonexcludable goods, such as radio broadcasts or streetlights, are often provided by the government but could potentially be provided by private firms.

Goods That Are Either Collective Consumption Goods or Nonexcludable Goods