The Major Distinction Between Private and Public Goods Is That

question 25

Multiple Choice

The major distinction between private and public goods is that

• A) private goods are goods produced by private firms whereas public goods are goods produced by government--the public sector.
• B) unlike private goods, public goods are nonexcludable--it is difficult or impossible to prevent nonpaying customers from receiving the good.
• C) unlike private goods, public goods are nonrival in consumption--the consumption of a unit by one person does not detract from the amount available to others.
• D) both b and c are correct.

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Definitions:

Operating Philosophy

Operating philosophy is a set of guiding principles and beliefs that dictate how a business or organization is run and how it interacts with its stakeholders.

Goal Or Objective

A specific, measurable, attainable, relevant, and time-bound target that an individual or organization aims to achieve.

Vision Statement

A declaration of an organization's long-term goals and aspirations, outlining what it wants to achieve in the future.