What is the concept of toll goods in relation to public goods?

Economics Public Goods Questions



80 Short 60 Medium 45 Long Answer Questions Question Index

What is the concept of toll goods in relation to public goods?

Toll goods, also known as club goods, are a type of goods that exhibit characteristics of both public goods and private goods. They are excludable, meaning that access to the good can be restricted to those who pay a fee or toll. However, they are non-rivalrous, meaning that consumption by one individual does not diminish the availability or quality of the good for others. Toll goods are typically provided by private entities or organizations and require individuals to pay a fee or membership to access and enjoy the benefits of the good. Examples of toll goods include cable television, private parks, and subscription-based online services.