Suppose That a Special Interest Group Makes Up 10% of the Overall

question 230

Multiple Choice

Suppose that a special interest group makes up 10% of the overall population. If a new proposal stands to generate $2 million in additional benefits to the group, the group will:

• A) always support this proposal since the costs are diffused over the entire population.
• B) never support this proposal if the costs are greater than $2 million.
• C) only support this proposal if the costs are less than $2 million.
• D) only support this proposal if the costs are less than $200,000.

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Definitions:

Group's Pressures

The influence exerted by a group on its members to conform to its norms and expectations, which can impact individual behavior and decisions.

Whistleblowing

The act of exposing any kind of information or activity that is deemed illegal, unethical, or not correct within an organization by someone inside that organization.

Bad Example

A model of behavior that is considered negative or undesirable for others to emulate.

Company Expense

Refers to the costs or charges that a company incurs as part of its operational activities, often related to its core business functions.