Free Rider Problem Example
Which of the following is the best example of the free-rider problem?
A
The president of a large automobile manufacturers' association notices that membership is stagnating because the benefits secured by the group can be enjoyed by nonmembers.
B
None of the answer choices are correct.
C
A small group of local pumpkin farmers struggles to gain access to government officials, so they decide to merge with a more influential dairy farmers' group.
D
The federal government mandates that all children have access to health care, and states that choose not to comply risk losing funding.