# Public Good

*Macro & Economy — Finicade finance glossary*

A public good is non-rival and non-excludable: one person's use doesn't reduce another's, and nobody can practically be kept out. National defence, street lighting and basic research qualify. Markets underprovide them because of free riding — if you'll benefit anyway, you won't pay — which is the cleanest economic argument for taxation rather than a moral one.

**Also known as:** public goods, non-excludable good, free rider problem

**Related terms:** [Externality](https://finicade.com/glossary/externality), [Fiscal Policy](https://finicade.com/glossary/fiscal-policy), [Government Debt](https://finicade.com/glossary/government-debt), [Moral Hazard](https://finicade.com/glossary/moral-hazard), [Tariff](https://finicade.com/glossary/tariff)

Source: https://finicade.com/glossary/public-good