A lighthouse is typically considered to be a public good because
A)the owner of the lighthouse is able to exclude beneficiaries from enjoying the lighthouse.
B)there is rarely another lighthouse nearby to provide competition.
C)a nearby port authority cannot avoid paying fees to the lighthouse owner.
D)all passing ships are able to enjoy the benefits of the lighthouse without paying.

Question

Quizplus · Accepted Answer

Lighthouses are classic examples of public goods because they are non-excludable (it's not feasible to exclude ships from benefiting from the light) and non-rivalrous (one ship's use of the light does not diminish the ability of another ship to use it as well).

A Lighthouse Is Typically Considered to Be a Public Good