Public and Private Goods Quiz

Why do governments directly provide goods and services?

Differentiate public goods from private goods?

What is a key characteristic of public good?

• They are excludable and rival in consumption.

• They are non-excludable and non-rival in consumption.

• They are expensive to produce and sell.

• They are only provided by private companies.

Which of the following is an example of a public good?

• National defense

• Private parks

• Subscription-based streaming services

• Exclusive clubs

What is a common issue associated with public goods?

• Overconsumption

• Underproduction

• High pricing

• Limited access

How do public goods typically affect market efficiency?

• They enhance competition.

• They lead to market failures.

• They increase consumer choice.

• They reduce government intervention.

Which of the following is a public good?

• National Park

• Amusement Park

• Both

• Neither

Police Protection vs. Private Security Service. Which of the two services is an example of a private good?

• Police Protection

• Private Security Service

• Both

• Neither

What defines a public good?

• A good that is sold in the market

• A good that is only available to paying customers

• A good that is non-excludable and non-rivalrous

• A good that requires membership to access

Which of the following is an example of a free-rider problem?

• People paying for their groceries

• Individuals using a public library without paying taxes

• A club charging membership fees for access

• Buying tickets for a concert