Question

32. Non-rivalry and non-excludability are the characteristics of:
(A) Normal goods
(B) Demerit goods
(C) Inferior goods
(D) Public goods​

Answer 1

Answer:

(D) Public Goods

Explanation:

A public goods is often (though not always) under-provided in a free market because its characteristics of non-rivalry and non-excludability mean there is an incentive not to pay. In a free market, firms may not provide the good as they have difficulty charging people for their use.

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