A college has found that during every home football game, a group of students sits on a hillside next to the stadium and watches the game without purchasing tickets. In economics, the problem that this college is facing is referred to as a
A) common good problem.
B) free rider problem.
C) onlooker problem.
D) deadweight loss problem.

Question

Quizplus · Accepted Answer

The free rider problem occurs when individuals can enjoy a good or service without paying for it, as the students are doing by watching the game without purchasing tickets.

A College Has Found That During Every Home Football Game