Unit 2: Microeconomics

Topic 2.9: Market Failure — Public Goods Questions

Practice 20 exam-style questions for IB Economics Topic 2.9. Review the question stems below, then unlock the full Question Bank to access markschemes, model answers, and AI grading.

14 marks
Define the two characteristics of a public good and give an example.
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24 marks
Define the two characteristics of a public good and give an example.
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31 mark
Which of the following is the best example of a pure public good?
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41 mark
A public good is characterised by being:
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51 mark
Which of the following is the best example of a pure public good?
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61 mark
A public good is characterised by being:
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71 mark
A quasi-public good is a good that:
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81 mark
The government provides public goods primarily because:
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91 mark
Which of the following is an example of a quasi-public good?
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101 mark
Governments can convert a quasi-public good into a more excludable one by:
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114 marks
Explain the difference between a pure public good and a quasi-public good, using one example of each.
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124 marks
Explain two methods by which the government can provide public goods.
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134 marks
Explain why some goods are described as quasi-public and give two examples.
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141 mark
The government provides public goods primarily because:
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151 mark
The free-rider problem associated with public goods means that:
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161 mark
Public goods lead to market failure because:
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174 marks
Explain the free-rider problem and why it leads to market failure in the provision of public goods.
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184 marks
Distinguish between public goods and private goods using the concepts of rivalry and excludability.
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194 marks
Explain why private firms are unlikely to provide public goods efficiently.
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201 mark
Public goods lead to market failure because:
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