Közjavakra

Közjavakra, often translated as public goods, refers to goods that are both non-excludable and non-rivalrous. Non-excludable means that it is impossible or very costly to prevent individuals who have not paid for the good from consuming it. Non-rivalrous means that one person's consumption of the good does not diminish another person's ability to consume it.

Classic examples of közjavakra include national defense, clean air, and public street lighting. In the case of national defense, everyone within a country benefits from its protection, and it's impossible to exclude non-payers. Similarly, clean air is a resource that everyone breathes, and one person breathing it doesn't reduce the amount of air available for others.

The provision of közjavakra often presents a challenge for market economies. Because individuals can benefit from these goods without paying for them (the free-rider problem), private firms may have little incentive to produce them. This can lead to under-provision or non-provision of essential public goods. Consequently, governments or other collective bodies often play a significant role in funding and supplying közjavakra, typically through taxation or other forms of compulsory contribution. The efficient allocation and funding of public goods remain a key area of study in economics.