This preview shows page 1. Sign up to view the full content.
Unformatted text preview: take any action against you if you dont pay to enjoy the benefits of my hard work at providing national defense, I guess I am going to have to get a hat out and start passing it around the room asking for donations. How much money do you think I would collect after passing the hat around the room? Do you think everyone contributed something to the cause? Or, do you think a few folks thought to themselves, Why should I pay a dime, I enjoy the benefits regardless of whether I pay or not. So why pay? You bet there were a few thinking that way, and economists refer to them as Free Riders The next time I pass the hat around the room, I will probably collect less because more of you will have learned to be free riders: people getting the benefits from a commodity without contributing one nickel to the commodities cost....
View Full Document
This note was uploaded on 12/29/2011 for the course ECO 210 taught by Professor Malls during the Fall '10 term at SUNY Stony Brook.
- Fall '10
- Public Good