Case Study Maximum

The local council stated it was going to build a large school in the city which would be free for everyone to use. Any children living in the city would be allowed to come to the school.

When a newspaper reporter asked the council leader how big a school would actually be built, he replied that the efficiency conditions that applied to all public projects would be used, and the school would be considered alongside all potential public good-type activities.

What is a public good?

Would you classify this school as a public good?

Assuming that the council is to be believed, how large a school should be built and why?