Public Goods Create a Free-Rider Problem Because

question 35

Multiple Choice

Public goods create a free-rider problem because

• A) people do not want to consume public goods.
• B) people can enjoy the good or service no matter whether or not they pay for it.
• C) only people who pay for the good or service can enjoy the good or service.
• D) the good or service is rival in nature.
• E) the good or service is excludable.

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Definitions:

Labor

The physical or mental effort used in the production of goods and services, often referring to work or workforce in economic contexts.

Spans Of Control

Refers to the number of subordinates that a manager or leader can effectively direct, supervise, and control.

Routine Work

Tasks or activities that are repetitive and predictable, requiring minimal creativity or problem-solving skills.

Structure

The arrangement or organization of interrelated elements in a material object or system, often referring to the way parts are positioned and interact within a whole.