A good is considered to be a public good if it
A) is a good produced by the government sector.
B) is both nonrival-in-consumption and nonexcludable.
C) benefits only a small group of consumers but is very costly to produce.
D) is a good whose production is financed by tax revenue.

Question

Quizplus · Accepted Answer

A public good is defined by its characteristics of being nonrival-in-consumption and nonexcludable, meaning one person's use does not reduce availability to others, and no one can be effectively excluded from using it.

A Good Is Considered to Be a Public Good If