By (pure) a public property and/or a pure collective property one understands in general goods, whose have consumption the following two characteristics:

• ''' Nichtausschliessbarkeit ''', i.e. the insufficient assignment or interspersing barness of vested titles at the property, for which there can be different reasons (economic, technological, institutional, normative, etc.). For example it would not be possible to exclude someone from the consumption of the property clean environment. This characteristic does not work independently konstitutiv for being present a public property, because it can occur also at private goods. As goods characteristic this characteristic can be lent to a property by the political decision education process at all only. For example the property "broadcast" arises usually in two manifestations: on the one hand as freely receiptable property with Nichtausschliessbarkeit, on the other hand as public property with at least partial implementation of the excluding barness (Pay TV). Occasionally it is used equivalently to the characteristic ''' of the ''' (consumer obligation).
• , i.e. that the property can be consumed at the same time by different individuals it is called, with many authors the crucial characteristic of public goods. A car can be driven e.g. only by a driver at the same time, while a clean environment can be consumed by several individuals at the same time. The rivalry with the consumption of a property can be interpreted also as negative external effect, and stop themselves - e.g. with overstocking effects - variable.

Public goods are therefore for example peace, clean environment, dams or lighthouses. Knowledge is for example no pure public property, since the common consumption is possible, but the principle of the Nichtausschliessbarkeit to be hurt can (partially in expensive magazines or accessible or by patents protected etc. etc. publishes only small groups). Public roads at least partly hurt both principles: Being present rivalry shows up on back-up (even if with small traffic volume no rivalry is present), the excluding barness at the possibility of raising duty fees.

(Reference: Some authors differentiate the terms collective property and public property, during them others synonymously use.)

With respect to the theory one differentiates between: pure public goods and combinations of public and private goods, which represent impure public goods. Public goods, which are consumed in several states, are called every now and then also global public goods.

One does not offer as necessarily judged public property by the market or in not sufficient measure, the state can intervene adjusting. (Adjustment).

Pure public property

Pure public goods or specific public goods are goods, at which the exclusion principle does not seize and time rivalry in the consumption is not present (also as use indivisibility admits).

The market does not function thus, since there are prospective customers for the property, but is ready none to pay a market price. This is because of the fact that one can come also without the price for the property to pay likewise into the benefit of the property. One speaks then of the free rider behavior so mentioned.

Usually the property will become therefore by the state offered and/or made available and over taxes and other deliveries all material and potential "users" taken part in it financially.

So for example national security is a public property - it is consumed at the same time by all in a country resident, without the consumer use of each particular is impaired by the consumption of other individuals. At the same time no individual individual can be excluded from it.

Since pure public goods for all Nachfrager are freely accessible, they belong also to the column of the common goods.

Impure public property

By an impure public property one understands meritorische and demeritorische goods. They are to be seen centric on a continuum between private property (validity of the exclusion principle) and specifically public property (failure of the exclusion principle).

Public goods in the experimental economic research

The experimental economic research concerns itself intensively with the problem of the supply of public goods, in particular the free rider problem.

This problem is usually modelled as follows with a disbursement function for one period for the subject (i):

\ pi_i=e-c_i+f \ cdot \ frac {1} {N} \ cdot \ sum_ {j=1} ^N c_j

Whereby e are the equipment in monetary units and C the individual contribution, as well as f (interest) the factor is, by which the sum of all contributions is multiplied. N is the number of the subjects and j the index for all subjects. This is repeated now as a rule several periods.

A interest rate is usual <math> \ frac {1} {N} <f< 1</math>. It corresponds to the characteristic of this problem the fact that it would be better for the whole, if gives all everything there f> \ frac {1} {N} (the public property is paid interest on positively). There is however an individual incentive for contributing nothing there the marginal yield of keeping (1) more largely than the marginal yield of the public property (f). Economically rational humans are not offered to nothing thus by beginning to give, the public property.

The experiments showed that the test subjects usually give a contribution that the entire contribution level collapses however very fast. The experimenters try to fathom now by variations, how it can be achieved that a socially desirable contribution level is reached. When effectively have themselves communication and punishments proved, rewards against it as not successfully. The contribution level is relative to independently the group size and reacted sensitiv to the interest charges.

An older overview of Public Good of experiments is in LED yard, John O. (1995), Public Goods: A Survey OF experimental Research, in: Kagel, John H./Roth, Alvin E. (Hg.), The Handbook OF experimental Economics, P. 111-194, Princeton University press, new jersey. To punishments to communication e.g. here

See also

• Global public goods
• Market failure
• Economic property

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