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Which of the following is an example of a pure service?

a. A service provided by a transport agency
b. A service provided by an internet cafe
c. A service provided by a restaurant
d. A service provided by a beautician

1 Answer

2 votes

Final answer:

A service provided by a beautician is an example of a pure service because it is entirely non-physical and not something that can be physically possessed. Nonexcludable services such as police protection and roads are available for public use without direct fees. Ordering flowers over the internet and buying a used laptop from a garage sale are examples of private goods provided by the government yet still classified as private.

Step-by-step explanation:

An example of a pure service is an intangible economic product that is completely non-physical. Considering the options provided, a service provided by a beautician is a clear example of a pure service because it is entirely intangible and solely based on providing professional skill or advice. Unlike goods, services cannot be stored or taken home; they are consumed at the point of delivery and offer no tangible asset.

Goods or services that are nonexcludable are those that cannot easily exclude people from using them, and they are typically provided without direct profit for the provider. Police protection, roads, and primary education are examples of nonexcludable goods or services as they are typically available for the public to use without direct cost at the point of use.

Private goods or services provided by a federal government, yet still classified as private, could include instances such as ordering flowers over the internet for a friend in a different city or buying a used laptop computer at a garage sale. These transactions involve exchange of money for goods and are excludable and rival in consumption.

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