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
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Which two characteristics define a pure public good?
- Rival, non-excludable
- Non-rival, non-excludable
- Non-rival, excludable
- Rival, excludable
-
Which good is both rivalrous and excludable in consumption?
- An apple
- Flood defences
- National defence
- Street lighting
-
Why do non-excludable goods suffer from the free-rider problem?
- Costs exceed benefits
- Goods are overconsumed
- Producers overcharge consumers
- People consume unpaid
-
What is the market outcome for a public good due to free riders?
- High profits
- Excess supply
- Under-provision
- Overproduction
-
Which of the following is an example of a quasi-public good?
- A chocolate bar
- Street lighting
- A toll road
- National defence
-
What technological change allows private broadcasters to make television signals excludable?
- Subsidies
- Congestion
- Nationalisation
- Encryption
-
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
-
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
-
What term describes a good that is non-rivalrous in consumption but excludable?
- Quasi-public good
- Pure public good
- Private good
- Common resource
-
A bridge that anyone can walk across without payment demonstrates which characteristic?
- Perfect rivalry
- Non-rejection
- Non-excludability
- High elasticity
-
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
-
If one person's consumption of a good does not diminish another's, the good is:
- Excludable
- Non-rival
- Demerit
- Non-excludable
-
Why do free markets fail to provide pure public goods efficiently?
- Negative externalities
- Information symmetry
- High profit margins
- Free-rider problem
-
Which of the following is a common access resource rather than a public good?
- Flood defences
- Street lighting
- National defence
- Ocean fish stocks
-
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
-
What type of good is non-rival but made excludable through subscription or membership?
- Demerit good
- Free good
- Quasi-public good
- Pure public good
-
Which feature makes a lighthouse a classic example of a public good?
- Price elastic demand
- Non-excludability
- High depreciation
- Diminishing returns
-
Which characteristic of a public good prevents private firms from charging consumers?
- Negative externalities
- Non-excludability
- Perfect competition
- High marginal cost
-
What is the marginal cost of supplying a pure public good to an extra user?
- Zero
- Constant
- Negative
- Rising
-
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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