2. Which of the following statements is correct?

A) Private goods yield direct benefits to the purchaser and are financed by the government.

B) Public goods yield widespread spillover benefits and are purchased by the government with tax revenues.

C) Public goods are bought voluntarily out of private incomes and yield no significant spillover benefits.

D) Public goods are bought voluntarily out of private incomes and yield widespread spillover benefits.

E) Private goods are often public goods as well.

Give an example of a Public Good, and explain why private markets have a hard time providing it: