An audiobook is an example of a club good because it is:

• A. non-excludable and rival in consumption
• B. excludable but non-rival in consumption
• C. excludable and rival in consumption
• D. non-excludable and non-rival in consumption

Answer: (B)

Verified step by step guidance

1. Step 1: Understand the definitions of key terms: A good is \textbf{excludable} if people can be prevented from using it if they do not pay, and \textbf{non-excludable} if they cannot be prevented. A good is \textbf{rival} if one person's consumption reduces the amount available for others, and \textbf{non-rival} if one person's consumption does not affect others' ability to consume it.
2. Step 2: Identify the characteristics of an audiobook: Since audiobooks are typically sold through platforms that require payment, they are \textbf{excludable} because access can be restricted to paying customers.
3. Step 3: Consider whether an audiobook is rival or non-rival: Because one person listening to an audiobook does not reduce the ability of others to listen to the same audiobook simultaneously, it is \textbf{non-rival} in consumption.
4. Step 4: Match these characteristics to the types of goods: A good that is excludable and non-rival is classified as a \textbf{club good}.
5. Step 5: Conclude that an audiobook fits the definition of a club good because it is \textbf{excludable but non-rival in consumption}.