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Which of the following is not a reason for the government to provide a good or service as a public good?

User Roy Riojas
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5 votes

Answer:

Having more consumers would increase a private provider's cost.

Step-by-step explanation:

Public goods are goods produced for the benefit of all in a society. The aim of providing public good is not to make profit but to meet the need of members of a society because not all goods can be left for private producers to produce.

In other words, the benefits enjoyed in public goods or services are for both tax payers and non tax payers. Moreover, the more the people that consume or enjoy the goods, the higher the cost involve in it's production .

Example of public goods are public library, national defence or security.

User Dtlussier
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