type of goods in economics(xi std)
Answers
Answer:
Explanation
- Necessity good.
- Comfort good.
- Complementary Goods.
- Substitute goods.
Answer:
HEYA !
Define a good
Key Points
Private goods are excludable and rival. Examples of private goods include food and clothes.
Common goods are non-excludable and rival. A classic example is fish stocks in international waters.
Club goods are excludable but non-rival. Cable television is an example.
Public goods are non-excludable and non-rival. They include public parks and the air we breathe.
Key Terms
Rival: A good whose consumption by one consumer prevents simultaneous consumption by other consumers
Excludable: A good for which it is possible to prevent consumers who have not paid for it from having access to it.
Four Types of Goods: There are four categories of goods in economics, based on whether the goods are excludable and/or rivalrous in consumption.
Private goods: Private goods are excludable and rival. Examples of private goods include food, clothes, and flowers. There are usually limited quantities of these goods, and owners or sellers can prevent other individuals from enjoying their benefits. Because of their relative scarcity, many private goods are exchanged for payment.
Common goods: Common goods are non-excludable and rival. Because of these traits, common goods are easily over-consumed, leading to a phenomenon called “tragedy of the commons. ” In this situation, people withdraw resources to secure short-term gains without regard for the long-term consequences. A classic example of a common good are fish stocks in international waters. No one is excluded from fishing, but as people withdraw fish without limits being imposed, the stocks for later fishermen are depleted.
Club goods: Club goods are excludable but non-rival. This type of good often requires a “membership” payment in order to enjoy the benefits of the goods. Non-payers can be prevented from access to the goods. Cable television is a classic example. It requires a monthly fee, but is non-rival after the payment.
Public goods: Public goods are non-excludable and non-rival. Individuals cannot be effectively excluded from using them, and use by one individual does not reduce the good’s availability to others. Examples of public goods include the air we breathe, public parks, and street lights. Public goods may give rise to the “free rider problem. ” A free-rider is a person who receives the benefit of a good without paying for it. This may lead to the under-provision of certain goods or services.
Explanation: for more see this https://courses.lumenlearning.com/boundless-economics/chapter/public-goods/
have a nice day
it was helpful to me too