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Quasi-public goods benefit the public but can be limited if necessary, unlike true public goods. Examples include roads and libraries. Governments can regulate access to preserve them, such as by tolls on roads or licensing for grazing on public land.
A quasi-public good is a resource that benefits the public, but could theoretically be limited if needed. This differs from a true public good, which remains accessible to everyone virtually all the time. For example, clean air is a public good because access to it cannot be restricted. On the other hand, roads are a quasi-public good. While theoretically open to all, they can be restricted with the use of a toll system.
Many countries have a mix of public and quasi-public goods to provide the necessary services and benefits to their citizens. Some services that people may think of as public goods are actually quasi-public goods, although the possibility of exclusion is not necessarily exercised. Libraries, police forces and fire departments, for example, may be limited to paying customers instead of being freely open to all. There are clear benefits to not restricting access to these resources, which causes them to operate much like public goods.
With assets like airwaves, a nation can make a conscious decision to exclude certain users to make the good more useful for all. Without regulation, broadcasts could be sent by competing parties which could crowd a frequency and generate interference. By allocating specific frequencies and reserving some for private government use, a nation can ensure that airwaves remain accessible for as many people as possible. This quasi-public good works best when limited.
Similar tactics can be used with roads and bridges. If everyone had unrestricted access, these resources could develop congestion, making them less useful. By instituting tolls, a government can reduce traffic to keep resources running smoothly. This preserves the quasi-public good by excluding some traffic in the interest of facilitating a smooth flow of vehicles. Similarly, governments could limit the operating hours of certain types of vehicles to free up road space.
Excludable resources are quasi-public goods, whether or not a government regulates the use of those resources. An example of changing use can be seen in the American West, where historically public land was used freely for grazing by ranchers. Over time, the government recognized that this unrestricted use posed some risks because overgrazing limited the available grass and contributed to erosion. In response, he set up a licensing system to force breeders to apply for permission, demonstrating that range was a quasi-public good that needed to be protected through restrictions.
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