Practise distinguishing non-rivalry from non-excludability and applying both characteristics to lighthouses and reduced ship losses.
In 2022 there were 24300 lighthouses globally. Between 2013 and 2022 the number of losses of ships at sea fell from 109 to 38.
With reference to lighthouses, explain the difference between 'non-rivalry' and 'non-excludability'.
Knowledge 2, Application 2
QS9: Interpret, apply and analyse information in written, graphical, tabular and numerical forms.
Knowledge
1 mark for definition of non-rivalry e.g.:
- Where the consumption by one person does not reduce the benefit for another person/ where people can consume a good without affecting the benefit derived by others ( 1 K )
1 mark for definition of non-excludability e.g.:
- Where you cannot prevent another person from consuming the same good / when it is impossible to provide a good without others being able to benefit from it (1K)
Application
Up to 2 marks for applying to stem e.g.:
- 24300 lighthouses globally / Number of losses of ships at sea reduced from 109 to 38 (1AP)
- Lighthouses are a public good (1AP)
- The consumption of light from a lighthouse by one ship does not reduce the light available to other ships at sea (1AP)
- One ship's consumption of light does not exclude/prevent another ship consuming the same light (1AP)
(4)