Lesson 4.1.8.3

4.1.8.3 Public goods, private goods and quasi-public goods Quiz: AQA Economics, Unit 1

20 questions

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Lesson 4.1.8.3, Public goods, private goods and quasi-public goods: 20 multiple choice questions for the AQA Economics (7136), Unit 1: Individuals, firms, markets and market failure, written with Revision Ninja.

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The 20 questions

  1. Which two characteristics define a pure public good?

    • Rival, non-excludable
    • Non-rival, non-excludable
    • Non-rival, excludable
    • Rival, excludable
  2. Which good is both rivalrous and excludable in consumption?

    • An apple
    • Flood defences
    • National defence
    • Street lighting
  3. Why do non-excludable goods suffer from the free-rider problem?

    • Costs exceed benefits
    • Goods are overconsumed
    • Producers overcharge consumers
    • People consume unpaid
  4. What is the market outcome for a public good due to free riders?

    • High profits
    • Excess supply
    • Under-provision
    • Overproduction
  5. Which of the following is an example of a quasi-public good?

    • A chocolate bar
    • Street lighting
    • A toll road
    • National defence
  6. What technological change allows private broadcasters to make television signals excludable?

    • Subsidies
    • Congestion
    • Nationalisation
    • Encryption
  7. What primary factor leads to the tragedy of the commons for shared environmental resources?

    • Lack of property rights
    • Excessive government regulation
    • Perfect market competition
    • High marginal costs
  8. Fish stocks in open seas are rival but non-excludable. What type of resource is this?

    • Common access resource
    • Merit good
    • Pure public good
    • Private good
  9. What term describes a good that is non-rivalrous in consumption but excludable?

    • Quasi-public good
    • Pure public good
    • Private good
    • Common resource
  10. A bridge that anyone can walk across without payment demonstrates which characteristic?

    • Perfect rivalry
    • Non-rejection
    • Non-excludability
    • High elasticity
  11. How can technological developments allow private firms to supply quasi-public goods profitably?

    • Enabling excludability
    • Reducing marginal costs
    • Creating free-rider incentives
    • Eliminating all rivalry
  12. If one person's consumption of a good does not diminish another's, the good is:

    • Excludable
    • Non-rival
    • Demerit
    • Non-excludable
  13. Why do free markets fail to provide pure public goods efficiently?

    • Negative externalities
    • Information symmetry
    • High profit margins
    • Free-rider problem
  14. Which of the following is a common access resource rather than a public good?

    • Flood defences
    • Street lighting
    • National defence
    • Ocean fish stocks
  15. Which issue can lead to government failure when public goods are state-provided?

    • High price elasticity
    • Excess private profits
    • The free-rider problem
    • Missing market information
  16. What type of good is non-rival but made excludable through subscription or membership?

    • Demerit good
    • Free good
    • Quasi-public good
    • Pure public good
  17. Which feature makes a lighthouse a classic example of a public good?

    • Price elastic demand
    • Non-excludability
    • High depreciation
    • Diminishing returns
  18. Which characteristic of a public good prevents private firms from charging consumers?

    • Negative externalities
    • Non-excludability
    • Perfect competition
    • High marginal cost
  19. What is the marginal cost of supplying a pure public good to an extra user?

    • Zero
    • Constant
    • Negative
    • Rising
  20. The free-rider problem is most likely to arise in the market for:

    • Street lighting
    • Higher education
    • Private healthcare
    • Mobile phones

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