Question

When a group provides a collective good or service, ______. select one:

a. entrepreneurial leaders find ways to limit the benefits strictly to group members
b. the group’s membership is likely to increase
c. the group can divide costs to each person for providing the good
d. the group will inevitably confront the free rider problem
e. the group will overcome the free rider problem more easily than will groups that provide exclusive goods?

Answer 1

The group can divide costs to each person providing the good when this group provides a collective good or service. By definition, a collective good or service are considered as goods and services that are provided and are readily available to the community. Examples of these are the health cares provided by the government.