What do goods like gasoline typically exemplify in economics?

• A. Club goods
• B. Private goods
• C. Public goods
• D. Common resources

Answer: (B)

Verified step by step guidance

1. Understand the characteristics of different types of goods in economics: Private goods, Public goods, Club goods, and Common resources.
2. Recall that Private goods are both excludable and rivalrous, meaning that people can be prevented from using them and one person's use reduces availability for others.
3. Recognize that gasoline is excludable because sellers can restrict who buys it, and rivalrous because when one person consumes gasoline, less is available for others.
4. Compare this with other types of goods: Public goods are non-excludable and non-rivalrous, Club goods are excludable but non-rivalrous, and Common resources are non-excludable but rivalrous.
5. Conclude that since gasoline fits the definition of being both excludable and rivalrous, it exemplifies a Private good.