AI-generated practice question — model-generated for extra practice, not a previous-year CBSE board question.
Collective provision of goods and services is more effective because many essential needs cannot be met by individual households alone, no matter how much money they have. For example, disease prevention requires the entire community to take preventive steps — even a wealthy person cannot be fully protected from infectious diseases if the rest of the community remains unprotected. Similarly, individual security for each household is far more expensive than collective security for the whole locality.
Example: A school can function only because many children want to study and the government provides the facility. A single family cannot replicate this benefit on its own unless they can afford costly private alternatives elsewhere.
Source: Public Facilities, Chapter 1
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