Which type of organization would find it easiest to overcome the free rider problem?
A) an environmental organization working to pass climate change legislation
B) a labor union in a state where union membership is optional
C) a trade association representing a small number of firms
D) a national organization fighting for women's rights

Question

Quizplus · Accepted Answer

A trade association representing a small number of firms would find it easiest to overcome the free rider problem because the members have a stronger sense of identity and common interest, and the benefits of the organization's actions are more directly linked to their individual interests. This creates a greater sense of accountability and reduces the likelihood of free riding behavior. The other organizations listed have a more diffuse membership and the benefits of their actions are less directly tied to individual interests and outcomes, making it harder to overcome the free rider problem.

Which Type of Organization Would Find It Easiest to Overcome