A public good is a good:
A)whose consumption is nonexcludable and nonrival.
B)for which the marginal cost of adding another consumer is high.
C)that the market will usually provide efficiently.
D)whose consumption is rival.

Question

Quizplus · Accepted Answer

A public good is a good whose consumption is nonexcludable, meaning it is difficult or impossible to prevent someone from using it, and nonrival, meaning one person's use does not diminish the availability or usefulness of the good for others. Examples include street lighting and national defense. Because of the nonexcludability and nonrivalry, the market will not provide public goods efficiently, and the government often intervenes to provide them.

A Public Good Is a Good