Because collective goods are indivisible and nonexcludable,it creates a

Question

Quizplus · Accepted Answer

Collective goods create a free-rider dilemma because individuals can benefit from the good without contributing to its provision or maintenance, leading to the potential for under-provision or non-provision. A security dilemma refers to a situation in which increasing one's own security decreases the security of others, while a prisoner's dilemma is a situation in which individuals have conflicting interests and the rational choice may not lead to the best outcome for all involved. A private goods dilemma is not a commonly recognized term.

Because Collective Goods Are Indivisible and Nonexcludable,it Creates a