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'Public provision' refers to those goods and services financed through the budget and:

Acan be used without any direct payment

Bcan be used only with direct payment

Ccan be used by taxpayers only

Dis available through online payment only

Answer:

A. can be used without any direct payment

Read Explanation:

Public Provision of Goods and Services

Definition and Characteristics

  • Public provision refers to the supply of goods and services that are funded through government budgets, typically derived from taxation.
  • A key characteristic of goods and services provided publicly is that they can be accessed and used by the public without requiring direct payment at the point of consumption.
  • Examples include national defense, street lighting, public parks, and basic education in many countries.

Economic Rationale

  • The concept is rooted in the economic theory of market failures, particularly concerning public goods and merit goods.
  • Public Goods: These are non-excludable (difficult to prevent people from using them) and non-rivalrous (one person's use does not diminish another's). Examples: clean air, national defense. Markets often under-provide public goods, necessitating government intervention.
  • Merit Goods: These are goods that society deems beneficial for individuals and that individuals might under-consume if left solely to the market. Examples: education, healthcare. Governments provide or subsidize these to ensure wider access.
  • The financing through the budget ensures that the costs are distributed across the population via taxes, allowing for widespread access to essential services that might otherwise be unaffordable or unavailable.

Financing and Provision

  • Budgetary Funding: The financing comes from general tax revenues (income tax, sales tax, corporate tax, etc.) or other government income sources.
  • Direct Provision: The government may directly produce and deliver the service (e.g., public schools, police services).
  • Subsidization or Vouchers: The government may fund private providers to deliver the service, or provide subsidies/vouchers to consumers to purchase the service in the private market (e.g., healthcare subsidies, education vouchers).

Distinction from Private Goods

  • Private Goods: In contrast, private goods are excludable (payment is required for consumption) and rivalrous (consumption by one person prevents consumption by another). Examples: a loaf of bread, a car.
  • The distinction highlights the role of government in ensuring access to goods and services deemed essential or beneficial for societal well-being, where market mechanisms alone might fail.

Related Questions:

ഡിജി സക്ഷമിനെക്കുറിച്ചുള്ള താഴെപ്പറയുന്ന പ്രസ്താവനകൾ പരിഗണിക്കുക :

  1. തൊഴിൽ മന്ത്രാലയത്തിന്റെയും മൈക്രോസോഫ്റ്റ് ഇന്ത്യയുടെയും സംയുക്ത സംരംഭമാണിത്
  2. യുവാക്കളുടെ തൊഴിലവസരം വർധിപ്പിക്കാൻ ഇത് ലക്ഷ്യമിടുന്നു
  3. പദ്ധതി പ്രത്യേകിച്ച് ഗ്രാമീണ മേഖലകളിൽ ശ്രദ്ധ കേന്ദ്രീകരിക്കുന്നു
    Capital expenditure is an expenditure that:

    Which of the following statement/s are true about the 'Vulture Funds'?

    1. Vulture funds specialize in purchasing distressed debt from companies
    2. Vulture funds often take a high-risk, high-reward approach to investing
    3. They often target entities that are undergoing financial difficulties, such as companies facing bankruptcy.
      ഇന്ത്യയിലെ ആദ്യത്തെ ഡിജിറ്റൽ ഭാഗ്യക്കുറി അവതരിപ്പിച്ച സംസ്ഥാനം ?

      താഴെപ്പറയുന്ന പ്രസ്താവനകളിൽ ഭക്ഷ്യ സുരക്ഷയുമായി ബന്ധപ്പെട്ട് ശരിയായത് ഏത്?

      1. ഭക്ഷ്യസുരക്ഷ സർക്കാരിന്റെ നിയമപരമായ കടമയാണ്.
      2. ആവശ്യമുള്ളത്രയും പോഷകപ്രദവും ഗുണമേന്മയുള്ളതുമായ ഭക്ഷ്യവസ്തുക്കൾ മിതമായ വിലക്ക് എല്ലാപേർക്കും ഉറപ്പാക്കും.
      3. ഭക്ഷ്യവസ്തുക്കളുടെ ലഭ്യത പൗരന്റെ നിയമപരമായ അവകാശമാണ്.
      4. സബ്സിഡി കുറയ്ക്കുക