The fact that it is difficult to prevent people from using public goods once they are produced,even if they have not paid,is known as
A)the easy-rider problem.
B)the over-consumption problem.
C)moral hazard.
D)the free-rider problem.
E)adverse selection.

Question

Quizplus · Accepted Answer

The situation described in the question is known as "the free-rider problem." This refers to the fact that individuals can benefit from public goods without contributing to their production, leading to a potential disincentive for others to pay for the goods. This problem is particularly common for non-excludable public goods, which means that it is difficult to prevent people from using them once they are produced.

The Fact That It Is Difficult to Prevent People from Using