Which term describes goods that cannot be consumed by one individual without affecting others?

Prepare for the HSC Economics Exam with comprehensive study materials, including flashcards and multiple choice questions. Each question offers hints and detailed explanations to boost your confidence and help you ace your exam!

The term that describes goods that cannot be consumed by one individual without affecting others is "rival." Rival goods are those where one person's use of the good diminishes the ability of another person to use it. For example, if one person eats an apple, that particular apple cannot be consumed by anyone else; thus, the consumption of the apple by one individual subtracts from what is available to others.

In contrast, non-rival goods can be consumed by many individuals simultaneously without reducing availability to others, like a public broadcast. Excludable goods can be restricted to certain individuals, often through pricing or membership, but this does not necessarily relate to the consumption effect on others. Public goods, which may include elements of non-excludability or non-rivalry, don't fit the definition of goods that affect others in terms of individual consumption directly. Therefore, "rival" correctly identifies goods that directly impact the consumption capacity of others.

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