Which good BEST fits the characteristics of a private good?
A) national defence
B) clean water
C) a pizza
D) police protection

Question

Quizplus · Accepted Answer

A private good is characterized by rival consumption (meaning it can only be consumed by one person at a time) and exclusivity (meaning people can be excluded from using it). A pizza fits these characteristics as it can only be eaten by one person at a time and can be purchased exclusively for a specific individual or group. National defense and police protection are examples of public goods, while clean water can be classified as a club good.

Which Good BEST Fits the Characteristics of a Private Good