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If the consumption of a good or service by one person does not decrease the quantity available for another person, the good or service is:

A) Rivalrous
B) Non-rivalrous
C) Excludable
D) Non-excludable

1 Answer

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Final answer:

The consumption of a good or service that doesn't reduce its availability for others is known as non-rivalrous (B). Non-rivalrous goods, such as public radio broadcasts, can be used by multiple people simultaneously without impacting each other's consumption.

Step-by-step explanation:

If the consumption of a good or service by one person does not decrease the quantity available for another person, the good or service is non-rivalrous. This concept is key in distinguishing between different types of goods in the context of economics. Goods that are non-rivalrous can be used by multiple individuals at the same time without affecting the availability of the good for others. An example of this is a public radio broadcast.

Anyone with a radio can listen to the broadcast without preventing others from doing so simultaneously. On the other hand, rivalrous goods, like a laptop or an ice cream cone, cannot be fully used by more than one person at a time without interfering with the other person's ability to use it.

User Nicholas Harlen
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