Table: Example GoodsA WatermelonA LighthouseSmog ReductionOnline Video GamesCable Internet ServiceNational DefenseA Private BeachA Public BeachA PencilSoup Kitchen MealsA ChairToll HighwaysPublic RoadsReference: Ref 18-2(Table: Example Goods) Refer to the table. Which of thefollowing contains only nonexcludable and rival goods fromthe table?

Question

Quizplus · Accepted Answer

Nonexcludable goods are those that cannot be denied to anyone who wants to consume them. Rival goods are those whose consumption by one person reduces the amount available for consumption by others. The only combination that fits both of these characteristics is a public beach, soup kitchen meals, and public roads. Online video games, toll highways, cable internet service, a private beach, a lighthouse, smog reduction, a pencil, and a chair are either excludable or nonrival, or both. National defense is a public good, which is nonexcludable and nonrival.