state economic system performs a number of important tasks.One of them is the production of goods and services for citizens.These public goods useful for many people (eg, bridges, national defense, etc.).As a rule, such production to the private sector is not profitable, and it assumes the state.
If the provision of the good of the individual is impossible without the other and consumption together, it is called pure public.An example would be the civil defense of the population, as concerns each and everyone equally.Thus, pure public goods - are goods and services that benefit from the use of which is inseparably distributed throughout society.The distribution of benefits is not dependent on the willingness of individual citizens to acquire or not to acquire them (goods and services).
Pure public goods have two characteristics.The first - the lack of competition in the consumption - indicates that increasing numbers of utility customers, delivers each of them, is never reduced.If pure public goods provided by the individual consumer, the costs are zero.As the number of consumers by the principle of Pareto-improving (compared to the previous state in the changed economic situation, no one lost, and some of the participants of economic relations even won).
second feature - neisklyuchaemost - is that the producer of public goods is not possible to suspend the use of the consumer.Suppliers are not able to enter into separate economic relationship with each customer.
pure public goods are not bought on the market.They are paid through a system of state taxation.
Due to the fact that the consumption of public goods is accompanied by positive effects for all citizens, the economic system must efficiently solve problems is not for distribution, and to provide the necessary volume of their production.
course, the classification is not limited to the concept of private and general consumption, and their characteristics.At the same signs used may have varying degrees of symptoms with respect to one or another product or service.Thus, both the private and the public good may have indiscriminate (or other symptoms).
Good, possessing a high degree of selectivity and low excludability in, called co-benefits of consumption.The restrictions in the consumption and use are associated with high costs.Typically, such benefits include beaches, parks, public facilities, and therefore they are also called communal.The joint nature of their use contributes to the high level of competition on the principle of "who came first, and is the first."
good with a high level of excludability and low degree of selectivity, called isklyuchemymi collective (public).In this case, access to their use can be (with minor costs) is limited.In some situations, the level of the good selectivity can be reduced in accordance with the increasing number of consumers.At the same time a certain point (with a "point overloading") granting an additional consumption is associated with an increase in certain costs - down utility for consumers.
Those benefits, the consumption of which is stored in the non-competition within a specific number of users, known as overloading.For example, by increasing the number of users increases congestion carriageway concerning reduced speed.
demand for public goods is established in accordance with the degree of marginal utility to consumers each time a certain price level.
