A problem that exists when naturally occurring incentives encourage sufficient numbers of people to act in a way that makes everybody worse off is called a
A) zero-sum problem.
B) cause-and-effect problem.
C) collective action problem.
D) trade-off.

Question

Quizplus · Accepted Answer

A collective action problem occurs when individuals' interests and incentives lead to behaviors that collectively harm the group or society, even though each individual's choice may seem rational from their personal perspective.

A Problem That Exists When Naturally Occurring Incentives Encourage Sufficient