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Answer on Economics of Enterprise Question for kunal Askurn

Question #32728
distinguish between public goods and merit goods
Expert's answer
The main difference is that public goods are goods that would not be provided in a free market system, because firms would not be able to adequately charge for them and merit goods are goods that would be provided in a free market system, but would almost certainly be under-provided. The main examples of merit goods are: education, health and fire service.

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