ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Merit goods are commodities that the public sector provides free or cheaply because the government wishes to encourage their consumption.

Detailed explanation-2: -A merit good has two characteristics: People do not realise the true personal benefit. For example, people underestimate the benefit of education or getting a vaccination. Usually, these goods also have a positive externality.

Detailed explanation-3: -Merits of a Sample Investigation This is because you collect data only from a fraction of the entire population. Therefore, it is cost-efficient. Time-efficient – In sampling, you require less time to collect, analyze, and interpret the data since you are working only on a fraction of the population.

Detailed explanation-4: -Social goods: are goods with non-exclusion principle and their supply is jointly made. Merit goods: are those public goods which results in interference with consumer choices.