What are the two characteristics that differentiate private goods from public goods?

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Trevin Gallagher

Social Studies

10 July, 04:46

What are the two characteristics that differentiate private goods from public goods?

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Lou · Answer 1

The two characteristics that differentiate private goods from public goods are:

1) Private goods are used by the those who pay for it, while public good are for all to use. The people do not specifically own them, its open to general and all people. This property is called non - excludability

2) Non-rivalry i. e. A person using any good/services cannot stop other from using it because it's a public property.