Question

1. A public good is a good:

	a.) Whose benefits to any particular individual do not depend on how many other individuals benefit from it.
	b.) That benefits many people whether or not they have paid for it.

	c.) All above are true
	d.) that is non-rival in consumption and non-excludable

Answer 1

Option C

All the above are true

• Public goods are those goods that are available to all individuals of a society equally and hence are non-excludable and non-rivalrous in nature.
• They are called non-excludable as they are available for all whether or not they have paid for it.
• These goods are rivalrous as the use of any public good by one Individual does not reduce the availability to others.
• Its benefits to any one Individual do not depend on how many others also benefit.