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The situation of individuals receiving the benefits of collective action without contributing is known as:________

a. the "free-rider problem"
b. the "welfare state"
c. "benefit stealing"
d. "coattailing"

User Humbleiam
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1 Answer

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Answer: a. the free-rider problem

Step-by-step explanation:

The free-rider problem is a situation described as market failure that occurs when public goods, services or resources are benefited by those who do not contribute or contributes little towards its availability. It is a problem because those who did not pay for the good or service might keep having access to it. The problem might also lead to economic failure of not been able to produce or make such goods or services available.

User Koekiebox
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