Suppose that everyone prefers to live in a society without poverty. Further suppose that some private charities are successful in reducing poverty. People who do not contribute to the charities
A)receive no external benefit from private antipoverty programs.
B)decrease the reliance of individuals on antipoverty programs.
C)can free ride on the generosity of others.
D)are most likely to be in favor of government-sponsored programs.

Question

Quizplus · Accepted Answer

People who do not contribute to private antipoverty programs can free ride on the generosity of others, meaning they benefit from the program without having to contribute to it. This is why some argue that government intervention may be necessary to ensure everyone is contributing to reduce poverty.

Suppose That Everyone Prefers to Live in a Society Without