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Adding local short description: "Type of economic goods", overriding Wikidata description "non-private good" |
Why is there a section titled "In Isreal"? No other countries are listed. The section features one quote from an economist explaining religious traditions using economic metaphors. How is that relevant to the article or help readers understand the subject? Tags: Reverted section blanking Mobile edit Mobile web edit |
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Specific examples for private club goods are memberships in gyms, golf clubs, or swimming pools. Both organisations generate additional fees per use. For example, a person may not use a swimming pool very regularly. Therefore, instead of having a private pool, you become member of a club pool. By charging membership fees, every club member pays for the pool, making it a common property resource, but still excludable, since only members are allowed to use it. Hence, the service is excludable, but it is nonetheless nonrival in consumption, at least until a certain level of congestion is reached. The idea is that individual consumption and payment is low, but aggregate consumption enables [[economies of scale]] and drives down unit production costs.<ref>Atanu Dey (2017) (https://deeshaa.org/2017/02/08/private-goods-club-goods-and-public-goods/).</ref>
==Club theory==
[[James M. Buchanan]] developed club theory (the study of club goods in economics) in his 1965 paper, "An Economic Theory of Clubs". He found that in neo-classical economic theory and theoretical welfare economics is exclusively about private property and all goods and services are privately consumed or utilized. Just over the last two decades before his provision in 1965, scholars started to extend the theoretical framework and communal or collective ownership-consumption arrangements were considered as well.
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