Question

1. Explainwhether each of the following goods are rival or excludable?
   1. Internet
   2. National defense
   3. Fish in the ocean
   4. Cars
   5. Food
   6. Police
   7. National parks

Answer 1

Rival Goods

Rival goods are rivalrous in nature, If one person consumes a product and it makes difficult for others to consume it then it is a rival good, it reduces the ability of others to consume it. Simultaneous consumption is not possible here.

Fish in the ocean

Excludable Goods

If a consumer has not paid for a product or services, then he can be banned to use it. It is an excludable product if it is possible to prevent from people to access it if they have not paid for it.

As per this explanation following goods from the list come under excludable goods

Internet

cars

Food

National park

NAtional defence and police do not come under both category as they are non rivalrous and non excludable in nature.