Match each of the terms on the left with its definition on the right. Click on the term first and then click on the matching definition. As you match them correctly they will move to the bottom of the activity.
Free-rider problem Rival in consumption Private good Common resource Cost-benefit analysis Artificially scarce good Nonexcludable Overuse Nonrival in consumption Public good Excludable | a good that is both nonexcludable and nonrival in consumption. a resource that is nonexcludable and rival in consumption. referring to a good, describes the case in which the same unit can be consumed by more than one person at the same time. an estimate of the costs and benefits of providing a good. When governments use cost-benefit analysis, they estimate the social costs and social benefits of providing a public good. referring to a good, describes the case in which one unit cannot be consumed by more than one person at the same time. referring to a good, describes the case in which the supplier cannot prevent those who do not pay from consuming the good. problem that results when individuals who have no incentive to pay for their own consumption of a good take a “free ride” on anyone who does pay; a problem with goods that are nonexcludable. a good that is both excludable and rival in consumption. the depletion of a common resource that occurs when individuals ignore the fact that their use depletes the amount of the resource remaining for others. a good that is excludable but nonrival in consumption. referring to a good, describes the case in which the supplier can prevent those who do not pay from consuming the good. |