ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Examples of private goods include apples, shoes, glasses, pens, and ice-cream cones. Public goods and services are characterized by shared consumption and non-exclusion.

Detailed explanation-2: -Examples of private goods include ice cream, cheese, houses, cars, etc. Public goods describe products that are non-excludable and non-rival. That means no one can be prevented from consuming them, and individuals can use them without reducing their availability to other individuals.

Detailed explanation-3: -A good that is both rival (meaning one person’s consumption prevents another person from consuming the good) and excludable (meaning the owner can prevent someone from using the good) is a private good. For example, an apple is a private good.

Detailed explanation-4: -A private good is a product that must be purchased to be consumed, and consumption by one individual prevents another individual from consuming it. We encounter private goods every day. For example-dinner at a restaurant, grocery shopping, airplane rides, and cellphones.

Detailed explanation-5: -Quasi-public goods – definition Examples include roads, tunnels and bridges. Markets for these goods are considered to be incomplete markets and their lack of provision by free markets would be considered to be inefficient and a market failure.