A merit good is Multiple Choice Income payments for which no goods or services are exchanged. A good society holds to a higher standard in tax regulations. A good or service that society believes everyone is entitled to a minimal quantity of. A product that serves as an incentive to produce more output.

A product that serves as an incentive to produce more output.

Explanation:

Merit goods are those goods that contains the positive externality and it could be generated or produced more and more in the market.

So it is a product that could be treated as the incentive for generating the maximum output and the incentive should be provided by the government

Therefore the last option is correct

was my answer wrong?

i believe the answer would have to be a dependable person