Final answer:
The statement is true; individuals who benefit from collective goods provided by an interest group without contributing to it are called free riders. This is a common problem in situations where the good provided is non-excludable and non-rivalrous, leading to little individual incentive to contribute. Interest groups combat this issue by offering membership incentives and other strategies.
Step-by-step explanation:
The statement is true; people who benefit from the work of an interest group but who do not themselves contribute any effort or money are indeed called free riders. The free rider problem describes the phenomenon where individuals benefit from resources, goods, or services provided by a group without actively participating or contributing to the costs associated with them. This can manifest in various contexts, including interest groups, environmental efforts, and other collective actions.
Interest groups work to provide collective goods which are services or advantages from which members can benefit. However, because these goods are often available to all regardless of membership, there is little incentive for everyone to contribute, leading to the free rider problem. This is paralleled in scenarios like group projects at school where some students may do minimal work knowing they can share the same grade, or when listeners enjoy public radio without contributing to fundraising efforts. While individual members have incentives to work together to achieve their goal, the individual incentive to contribute can be weak.
To combat the free rider problem, some groups, especially smaller and well-financed ones, are more effective at overcoming it. They may provide specific membership incentives, offer benefits only to active contributors, or utilize other strategies to encourage participation and support.