Which one of the following characteristics distinguishes a pure public good from a private good?
Pure public goods are excludable, meaning consumers can easily be prevented from using them if they do not pay.
Pure public goods are non-rival, meaning one person's consumption does not reduce the quantity available to others.
Pure public goods can only be provided by private firms through voluntary market price mechanisms.
Consumption of a pure public good always leads to a net welfare loss for society.
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.