A private good is
A) nonexcludable and nonrival.
B) excludable and rival.
C) excludable and nonrival.
D) nonrival and excludable.
E) subject to the free-riding problem.

Question

Quizplus · Accepted Answer

Private goods are excludable, meaning that the owner can prevent people from using them, and rival, meaning that the consumption by one person precludes consumption by others. Examples of private goods include food, clothing, and electronics. The other choices do not describe private goods. A describes a public good. C describes a club good. D describes a common-pool resource. E is a characteristic of public goods but not necessarily private goods.

A Private Good Is