What are public goods and private goods?

Asked by Topperlearning User | 19th Apr, 2016, 09:14: AM

Expert Answer:

Public goods: The goods which cannot be provided through market mechanism and must be provided by the government are called public goods. Example: roads, public library, parks

Private goods: The goods which can be provided through market mechanism and the transactions are taken place between the producers and individual consumers are known as private goods. Example: Food, clothing, furniture

Answered by  | 19th Apr, 2016, 11:14: AM