The collective action problem where multiple firms chase elusive advantage in exploiting employees, degrading the environment, and pressuring developing countries to weaken regulation and lower tax rates is often called _______.

Question

Quizplus · Accepted Answer

The "race to the bottom" refers to a situation where companies and countries compete to lower standards, such as labor, environmental, and tax regulations, to attract or retain business, often leading to negative consequences.

The Collective Action Problem Where Multiple Firms Chase Elusive Advantage