In Order to Eliminate a Free Rider Problem or Tragedy

question 44

Multiple Choice

In order to eliminate a free rider problem or tragedy of the commons problem:

• A)the social costs must be realized by the individual.
• B)something must be done to alter individuals' trade-offs.
• C)market participants must internalize the value of the externality.
• D)All of these statements are true.

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Definitions:

Baby Boomers

The demographic group born during the post-World War II baby boom, approximately between the years 1946 and 1964, known for their significant impact on the economy and culture.

Universal Products

Goods or services designed to be used or consumed by almost all consumers across different markets.

Identifiable

Capable of being recognized or distinguished from others, often through unique features, markings, or characteristics.

Macroenvironment

The broader external environment affecting an organization, including economic, demographic, legal, political, technological, and social-cultural factors.