Which of the following is NOT an example of a public good?

Answer & explanation

Correct answer: option 1

The correct answer is Option (1) → A movie show at a local cinema hall

A public good is open to all; no one can be kept out and one person’s use does not reduce others’. A cinema show is different: without a ticket you are excluded.

Option (1) A movie show at a local cinema hall — False. Those who do not pay can be kept out, so it is excludable.

Option (2) National defence — True. Defence protects everyone in the country at once.

Option (3) Measures to reduce air pollution — True. Cleaner air benefits all, and no one can be kept out.

Option (4) A public park — True. Many people enjoy it together, without reducing others’ use.

NCERT (2026-27): “Allocation Function of Government Budget Government provides certain goods and services which cannot be provided by the market mechanism i.e. by exchange between individual consumers and producers. Examples of such goods are national defence, roads, government administration etc. which are referred to as public goods. … One, the benefits of public goods are available to all and are not only restricted to one particular consumer. … However, if we consider a public park or measures to reduce air pollution, the benefits will be available to all. One person’s consumption of a good does not reduce the amount available for consumption for others and so several people can enjoy the benefits, that is, the consumption of many people is not ‘rivalrous’. …”

“Two, in case of private goods anyone who does not pay for the goods can be excluded from enjoying its benefits. If you do not buy a ticket, you will not be allowed to watch a movie at a local cinema hall. However, in case of public goods, there is no feasible way of excluding anyone from enjoying the benefits of the good. That is why public goods are called non-excludable. …”