1. Need for Public Sector
... good - like a sandwich - stand in a rival relationship. - But if a given improvement in air quality is obtained by considering new measures to reduce pollution, the resulting gain will be available to all who breathe. Consumption of such products by various individuals is nonrival in the sense that one person's partaking of benefits does not reduce the benefits available to others. The market ... the case. It would be inefficient to exclude any one consumer from partaking in the benefits, since such participation does not reduce consumption by anyone else. With benefits available to all...
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