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Martin Enterprises, an MNE with operations in India, Japan, and Taiwan, has decided to delegate an increasing amount of responsibility to the managers of its local subsidiaries. Which of the following will most likely be enhanced as a result?
Free-Rider Problem
The free-rider problem occurs when individuals consume a good without paying for it or underpay, benefiting from others' contribution, typically seen in the provision of public goods.
Air Pollution
The presence of harmful or excessive quantities of substances including gases, particulates, and biological molecules in the Earth's atmosphere, causing diseases and environmental damage.
Collective Action Problem
A situation where individuals in a group have incentives not to participate in an action that would benefit all members of the group.
Property Rights
Legal rights to possess, use, and dispose of assets or resources, which are crucial for efficient market operations and investment decisions.
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