Private goods are products or services that are owned by individuals or businesses and are not available for free use by others. They are characterized by two main features: exclusivity and rivalry. Exclusivity means that the owner can prevent others from using the good, while rivalry indicates that one person's use of the good reduces its availability for others. Examples of private goods include clothing, food, and cars. Because private goods are owned, they can be bought and sold in markets. The price of private goods is determined by supply and demand, which influences how much of the good is produced and consumed. This system encourages efficient allocation of resources, as producers aim to meet consumer needs while maximizing their profits.