CA Foundation P4 · Chapter 7 · Question 2 of 15
Pure public goods are characterised by:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Non-rivalry in consumption and non-excludability
Explanation
A pure public good, such as national defence, can be consumed by one person without reducing availability to others (non-rival), and it is impossible or very costly to exclude non-payers (non-excludable). Rival and excludable goods are private goods.
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