All goods that are excludable are also rival in consumption, but not all goods that are rival in consumption are excludable.

Question

Quizplus · Accepted Answer

Excludability and rivalry in consumption are two separate characteristics of goods. A good is excludable if it is possible to prevent people who have not paid for it from having access to it. A good is rival in consumption if one person’s use of the good diminishes other people’s use. Goods can be excludable but not rival (such as pay-per-view TV), or rival but not excludable (like fish in the ocean), among other combinations.

All Goods That Are Excludable Are Also Rival in Consumption