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Multiple Choice
Why does a campground at a national park not necessarily count as a public good?
A
Because campgrounds are funded by private companies and not the government
B
Because campgrounds do not provide any benefit to society
C
Because access to the campground can be limited and people can be excluded if it is full or requires payment
D
Because campgrounds are always non-rivalrous and non-excludable
Verified step by step guidance
1
Recall the definition of a public good: it must be both non-rivalrous and non-excludable. Non-rivalrous means one person's use does not reduce availability for others, and non-excludable means people cannot be prevented from using it.
Analyze the characteristics of a campground at a national park. Consider whether one person's use of the campground reduces the ability of others to use it (rivalry) and whether people can be prevented from accessing it (excludability).
Recognize that campgrounds often have limited space, so if it is full, additional people cannot use it. This means the good is rivalrous to some extent.
Also, campgrounds may require payment or have rules limiting access, which means people can be excluded from using them, making the good excludable.
Conclude that because campgrounds are both rivalrous (limited capacity) and excludable (access can be controlled), they do not fully meet the criteria of a public good.