'Public provision' refers to those goods and services financed through the budget and:

The correct answer is can be used without any direct payment.

Key Points

• Public provision refers to goods and services that are financed through government budgets and provided for public benefit.
• These goods and services can be accessed without any direct payment by the users at the point of use.
• Examples include public healthcare, public education, infrastructure, and subsidized services like public transportation.
• The cost of such provisions is covered through tax revenues, ensuring equitable access to essential services for all sections of society.
• This approach supports the government's role in promoting social welfare and reducing inequality.

Additional Information

• Public Goods: Goods that are non-excludable and non-rivalrous, meaning they can be consumed by everyone without reducing their availability to others (e.g., street lighting, national defense).
• Merit Goods: Services considered beneficial for individuals and society, often provided by the government at low or no cost (e.g., education, healthcare).
• Progressive Taxation: A taxation system where higher-income groups pay a higher percentage of their income, ensuring funding for public provisions and reducing income inequality.
• Subsidies: Financial assistance provided by the government to reduce the cost of certain goods or services, making them affordable for the general public.
• Welfare State: A concept where the government takes responsibility for the well-being of its citizens by providing essential services and ensuring a minimum standard of living.