The free-rider problem is most likely to arise in:
A)small groups
B)firms that tie bonuses to individual performance
C)a profit-sharing plan
D)firms that use piece rates

Question

Quizplus · Accepted Answer

The free-rider problem is most likely to arise in situations where benefits are shared among members of a group, such as in a profit-sharing plan. In such scenarios, individuals might not contribute their fair share, relying on others to work hard, because they receive a share of the profits regardless of their individual effort.

The Free-Rider Problem Is Most Likely to Arise In