Consider a childhood vaccination program that is fully effective if all children are vaccinated.Now suppose that all children except one are vaccinated - and as a result that one child will not contract the disease.In economics,we can compare this situation to
A)moral hazard.
B)adverse selection.
C)the free-rider problem.
D)asymmetric information.
E)common property problem.

Question

Quizplus · Accepted Answer

The situation described is an example of the free-rider problem. The unvaccinated child is able to "ride free" on the protection provided by the other vaccinated children in the community without contributing to the cost or effort of vaccination. This can lead to a situation where not all children are vaccinated, which reduces the overall effectiveness of the vaccination program.

Consider a Childhood Vaccination Program That Is Fully Effective If