Private goods are goods
A) that carry a price.
B) for which price is greater than zero.
C) for which the more one person has the less is available for someone else.
D) that are produced by the government.

Question

Quizplus · Accepted Answer

Private goods are goods that are excludable and rival, meaning that one person's consumption of the good reduces the amount available for others and individuals can be excluded from consuming the good. This definition describes choice C, "for which the more one person has the less is available for someone else." Choices A and B, "that carry a price" and "for which price is greater than zero," only describe the fact that private goods are traded in markets and have a non-zero price. Choice D, "that are produced by the government," is incorrect because private goods can be produced by both private firms and government entities.

Private Goods Are Goods