Public goods,when left to the private market will be:

Question

Quizplus · Accepted Answer

Public goods have two key characteristics: non-excludability and non-rivalry. Non-excludability means that it is difficult or impossible to prevent individuals from using the good, and non-rivalry means that use of the good by one person does not diminish its availability to others. Because public goods cannot be easily or completely excluded to non-payers, private firms will not have incentives to produce the optimal amount of public goods, leading to an undersupply of them.

Public Goods,when Left to the Private Market Will Be