A pure private good is such that
A)Rivalry holds but exclusivity does not.
B)Both rivalry and exclusivity hold.
C)Exclusivity holds but rivalry does not.
D)Neither rivalry nor exclusivity hold.

Question

Quizplus · Accepted Answer

A pure private good is characterized by both rivalry and exclusivity. Rivalry refers to the fact that the consumption of the good by one individual reduces the amount available for others to consume. Exclusivity, on the other hand, implies that the owner of the good has the legal right to exclude others from consuming it. Examples of pure private goods include clothing, food, and electronic devices.

A Pure Private Good Is Such That