152k views
1 vote
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

4 votes

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
by
8.4k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.