When the government has taken certain decision that can financed through the budget and can be used without any direct payment. Such move is known as ............ |
Public Provision. Public Production. Public Goods. Private Goods. |
Public Provision. |
The correct answer is Option (1) → Public Provision. There is a difference between public provision and public production. Public provision means that they are financed through the budget and can be used without any direct payment. Public goods may be produced by the government or the private sector. When goods are produced directly by the government it is called public production. Public Provision refers to a situation where the government provides certain goods or services that are financed through the budget and are made available to people without any direct payment. These are typically essential services like education, healthcare, sanitation, etc., provided free or at subsidized rates.
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