Here is a Quizlet revision activity covering key terms on the topic of public goods and market failure
Club goods: Goods that are excludable but not rival in consumption e.g. streamed video online
Common pool resources: Goods that are available to everyone, but one user's consumption reduces the amount available for others
Cooperation: Participating in a common project that is intended to produce mutual benefits.
Excludability: Property of a good where a person can be prevented from using it if they do not pay
Free rider: When we benefit from consuming a product without contributing to the cost of supply
Global public bad: Something with severe negative externalities on communities leading to a loss of social welfare
Global public goods: Public goods that benefit every country, irrespective of which ones provide them
Marginal cost: The cost of producing one more unit of a good or service
Market failure: When markets allocate resources in a socially-inefficient way.
Missing market: Occurs when the private sector fails to provide certain products at all
Non-excludability: When benefits from pure public goods cannot be confined solely to those who have paid
Non-rivalrous: When consumption of a good by one person does not reduce the amount available for others
Private good: A good that is both rival, and from which others can be excluded.
Quasi public good: A near-public good which is at times semi-rival and semi-excludable
Tragedy of the commons: When no one owns a resource, it may get over-used, for example fish stocks
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