Which statement about pure public goods is false?

The statement that is false about pure public goods is the assertion that one person's consumption reduces the amount available for others. Pure public goods are characterized by two key features: non-excludability and non-rivalrous consumption. Non-excludability means that individuals cannot be effectively excluded from using the good, and non-rivalrous consumption means that one person's use of the good does not diminish the ability of others to use it simultaneously.

Because of these characteristics, when one person consumes a pure public good, it does not reduce its availability for others. For example, national defense is a pure public good; when the benefits of security are provided to one citizen, all citizens simultaneously benefit without any reduction in the level of security enjoyed by others.

The other statements are true. Public goods are indeed non-excludable and non-rivalrous, meaning they can be consumed by anyone without affecting another individual's consumption. They are also available to all without direct payment, typically funded through taxation. Additionally, the nature of these goods can lead to market failures, as the private market may underprovide them due to difficulties in charging individuals for their use, resulting in a collective action problem.