ECON 1000 Chapter Notes - Chapter 17: Tim Hortons, Starbucks, Public Choice

• School: York University
• Department: Economics
• Course: ECON 1000
• Professor: Steven Edwards

Document Summary

Econ 1000: chapter 17. 1-2 public goods and common resources. Goods, services and resources differ in the extent to which people can be excluded from (cid:272)o(cid:374)su(cid:373)i(cid:374)g the(cid:373) a(cid:374)d to (cid:449)hi(cid:272)h o(cid:374)e pe(cid:396)so(cid:374)"s (cid:272)o(cid:374)su(cid:373)ptio(cid:374) rival othe(cid:396) people"s (cid:272)o(cid:374)su(cid:373)ptio(cid:374) Excludable: (cid:894)e(cid:454)(cid:272)lude ppl that do(cid:374)"t pa(cid:455)(cid:895) good is excludable if only the people who pay for it are able to enjoy its benefits: brink security services, fish farm and a coldplay concert. Nonexcludable: (can"t exclude ppl that don"t pay) if it is impossible to prevent anyone from benefiting from it: police services, fish in the ocean and concert on tv. Rival: if one person"s use of it de(cid:272)(cid:396)eases the (cid:395)ua(cid:374)tit(cid:455) available for someone else: b(cid:396)i(cid:374)k t(cid:396)u(cid:272)k (cid:272)a(cid:374)"t deli(cid:448)e(cid:396) (cid:272)ash to t(cid:449)o (cid:271)a(cid:374)ks at the same time, and fish can only be consumed once. Nonrival: if one person"s use of it does (cid:374)ot de(cid:272)(cid:396)ease the (cid:395)ua(cid:374)tit(cid:455) a(cid:448)aila(cid:271)le fo(cid:396) so(cid:373)eo(cid:374)e else: police services and concert on tv.