merit goods


Goods and services that are judged to be worth more than their value according to the market. Merit goods such as education and healthcare may be under-supplied in proportion to their perceived value if left to private enterprise, and are sometimes provided by governments or nonprofit organizations.

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After a very unimpressive quarter merit goods were used to incentivize the employees. The employees were looking forward to earning these company benefits.

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Using children as merit goods in the current educational system requires rethinking. The "No Child Left Behind" policy is such an example. Using children in this way makes them vulnerable to scorn if they are not seen meeting State standards as some of their classmates. No human can be considered to be "merit goods" just as no policy can be considered to be the rights of a human being.

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Investing in a college education is commonly thought of as merit goods as the initial investment of the average college tuition more often than not provides a high rate of return in earnings potential for an individual in addition to the education itself.

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