Which of the following scenarios illustrates the ―free-rider problem‖?
A) Three classmates working on a group project all know they will receive the same grade and one of the students contributes very little effort into the project.
B) Local residents on a small island pay taxes to have its beaches cleaned. Tourists visiting the island leave garbage on the beaches because they know that the beaches are cleaned regularly.
C) The servers at a restaurant agree to split all of the tips equally and some diners receive bad service.
D) Each of these scenarios illustrates a form of free riding.
Correct Answer:
Verified
Q83: What is a result of a high
Q84: Which of the following illustrates the principle
Q85: Why do more corrupt countries have lower
Q86: Why did so many Chinese farmers and
Q88: The most important factor that contributed to
Q89: The least corrupt countries tend to be
Q90: Which of the following scenarios provides an
Q91: Increases in the level of corruption in
Q123: Corruption is like a "tax" on firms
Q135: The ability to collect on a debt
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents