Question

Jen can take either of two separate roads to drive to work. The first is a toll road that is rarely congested. The second road is a road with no tolls, but it is often congested and has many potholes. In this instance, the toll road is rivalrous and excludable nonrivalrous and nonexcludable rivalrous and nonexcludable nonrivalrous and excludable

Answer 1

A good is rivalrous if its consumption by one consumer prevents or impedes its use by other consumers. Roads are rivalrous to the extent that they are subject to congestion, since congestion is caused by use of the road and impedes the use of the road by others. However, a road which is not subject to congestion, like the toll road in this case, is non-rivalrous. A good is excludable if it is possible to prevent those who have not paid for it from using it. So a toll road is by design an excludable good. Hence, the toll road is rivalrous and excludable.