Question

What is a public good?

A.the part of the economy that involves the transactions of the government
B.a period of macroeconomic expansion followed by a period of contraction
C.a shared good or service for which it seems impractical to make consumers pay individually and to exclude nonpayers
D.a side effect of a good or service generating benefits or costs to someone who doesn’t decide how much to produce or consume

Please and thank you !

Answer 1

C Public good is where they make goods for the public for their own benefit

Answer 2

Option (C) is correct.

Step-by-step explanation:

A public good is a good which has two important characterstics:

(i) Non-Rival : From non-rival, we mean that the consumption level obtained from the public good cannot be reduced if one person consumed it. The same level of satisfaction is available for the next individual which means that the consumption level of public good cannot be reduced with the consumption of the individuals.

(ii) Non-Excludable : From non-Excludable, we mean that one person cannot exclude others from the consumption of public good even if they are not paying for that good.