O Levels Economics (2281)•2281/13/O/N/21

Explanation
Public Goods: Non-Excludable and Non-Rivalrous
Steps:
- Define a public good as something non-excludable (no one can be prevented from using it) and non-rivalrous (one person's use doesn't reduce availability for others).
- Evaluate each option against this definition.
- Identify which option fits both criteria perfectly.
- Confirm by recalling standard economic examples.
Why B is correct:
- Street lights are non-excludable (everyone benefits without payment) and non-rivalrous (one person's illumination doesn't dim it for others), per the classic economic definition of public goods.
Why the others are wrong:
- A. Healthcare is excludable (access requires payment or eligibility), making it a private good.
- C. Unemployment benefits are excludable (only eligible recipients receive them) and rivalrous (limited government funds).
- D. Vaccinations are often excludable (require individual access or payment) and rivalrous in supply.
Final answer: B
Topic: Market failure
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