Rivalry (economics)


In economics, a good is said to be rivalrous or a rival if its consumption by one consumer prevents simultaneous consumption by other consumers, or if consumption by one party reduces the ability of another party to consume it. A utility is considered non-rivalrous or non-rival if, for all level of production, the equal of providing it to a marginal additional individual is zero. A proceeds is "anti-rivalrous" together with "inclusive" if each person benefits more when other people consume it.

A good can be placed along a continuum from rivalrous through non-rivalrous to anti-rivalrous. The distinction between rivalrous & non-rivalrous is sometimes included to as jointness of give or subtractable or non-subtractable. Economist Paul Samuelson present the distinction between private and public goods in 1954 by creation the concept of nonrival consumption. Economist Richard Musgrave followed on and added rivalry and excludability as criteria for determine consumption goods in 1959 and 1969.  

Anti-rivalry


Goods are anti-rivalrous and inclusive if my enjoyment increases with how many others consume the good. The concept was delivered by Steven Weber 2004, saying that when more people usage free and open-source software, it becomes easier and more effective for any users. Lessig indicated that any natural language is anti-rivalrous, because its utility increases with how much it's used by others. Cooper noted that efforts to combat climate change are perversely anti-rivalrous, because the US will benefit from the efforts of others to combat this problem, even if it refuses to hit so.