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1.8 The market mechanism, market failure and government intervention in markets

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Question 98

In economics, if a public good is described as being non-rival, this means that

A

once the good is supplied, it is impossible to exclude consumers who have not paid for it.

B

consumption of the good by one individual does not diminish the amount available to others.

C

the good is always provided by the state because there are no private competitors in the market.

D

the marginal cost of producing additional units of the good is always rising.

Markscheme

1.8 The market mechanism, market failure and government intervention in markets Questions

  1. A Level
  2. /Economics
  3. /1.8 The market mechanism, market failure and government intervention in markets

378 exam-style questions on AQA A Level Economics 1.8 The market mechanism, market failure and government intervention in markets, covering 1.8.1 How markets and prices allocate resources, 1.8.2 The meaning of market failure, 1.8.3 Public goods, private goods and quasi-public goods, 1.8.4 Positive and negative externalities in consumption and production, 1.8.5 Merit and demerit goods, 1.8.6 Market imperfections, 1.8.7 Competition policy (A-level only), 1.8.8 Public ownership, privatisation, regulation and deregulation of markets (A-level only), 1.8.9 Government intervention in markets, and 1.8.10 Government failure. Each one has a worked solution and a mark scheme showing where the marks go.

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