Definition of Private good:
A private good is a product that must be purchased to be consumed, and consumption by one individual prevents another individual from consuming it. In other words, a good is considered to be a private good if there is competition between individuals to obtain the good and if consuming the good prevents someone else from consuming it.
Economists refer to private goods as rivalrous and excludable, and can be contrasted with public goods.
An item of consumption that, if used by one party, may not be available for others, such as food and clothing. See also public good.
How to use Private good in a sentence?
- You may want to market certain products as a private good so that you can charge higher prices for them.
- You can sometimes get a larger reward for a private good instead of marketing it to the entire public and devaluing it.
- Today we are offering those in attendance an exclusive preview sale to our top quality private good s as a show of good faith and our way of saying, thank you, for your loyalty.
- A private good is not shared with anybody else, but can be sold along with transferring rights to use or consume it.
- Private goods are different from public goods, which are available to everyone regardless of income levels.
- Private goods are those whose ownership is restricted to the group or individual that purchased the good for their own consumption.
Meaning of Private good & Private good Definition