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Terms in this set (36)
What is the free-rider problem?
Tendency of individuals/organizations to fail to contribute to production of public goods BECAUSE they can still benefit without contributing
when a person in a group does not pay for a good that is agreed to be paid collectively as a group free-rider is the one that does not pay
What can result from a free rider problem?
the collective action could fail if enough of the group members do not participate in the collective action ..... One person is not enough to effect the entire collective action
What is a solution to the free-rider problems?
delegation of power to an authority
How does delegation of power to an authority solve the free-rider problem?
authority will monitor the contribution of the people in the group
authority will use rewards and punishments to to increase the amount of contribution
Collective Action Example
if each of us pollutes less by paying a bit extra for our cars, we all benefit from the reduction of harmful gases in the air we breathe and even in the reduced harm to the ozone layer that protects us against exposure to carcinogenic ultraviolet radiation
What are the collective actions problems?
Coordination problems
Free-rider Problem
What is collective action?
action/decision by a (large) group in pursuit of a group benefit
What is a negative result of competing goals?
Collective action problems
In the "Free Riding and Morality" section of his essay, Hardin argues that:
a) Free riding is clearly immoral
b) Free riding is clearly moral
c) It is ambiguous whether free riding is moral
d) Whether free riding is immoral depends upon
whether a group succeeds in supplying a public good
e) All of the above
c) It is ambiguous whether free riding is moral
According to Krutz, the most common form of government in the world is:
a) Representative democracy
b) Oligarchy
c) Monarchy
d) All of the above are equally common
e) None of the above is the most common type
a) Representative democracy
Collective action problems occur when:
a) a group can benefit if they act collectively, but cannot manage to do so
b) only some people in a group stand to benefit from group action
c) delegated power is used against the interests of whomever delegated the power
d) people in a group are inclined to act collectively to produce group benefits
e) none of the above
a) a group can benefit if they act collectively, but cannot manage to do so
Conflicting interest and values:
a) do not occur in societies with dictatorships
b) occur only in societies with democratic governments
c) would not exist if governments did not cause them
d) are inherent in society and unavoidable
e) none of the above
d) are inherent in society and unavoidable
The idea that conflict is inherent in society is demonstrated:
a) by the impossibility of a society simultaneously adopting "freedom of choice" and a "right to life" on the abortion issue
b) when government makes bad policy decisions
c) by people beating each other up in mixed martial arts fights
d) when government mandates seatbelts and airbags as a vehicle-safety regulations
e) none of the above
a) by the impossibility of a society simultaneously adopting "freedom of choice" and a "right to life" on the abortion issue
Collective action problems occur when:
a) a group can benefit if they act collectively, but cannot manage to do so
b) only some people in a group stand to benefit from group action
c) delegated power is used against the interests of whomever delegated the power
d) people in a group are inclined to act collectively to produce group benefits
e) none of the above
a) a group can benefit if they act collectively, but cannot manage to do so
The March 2006 immigration reform rally in LA illustrates a group overcoming which type of problem?
a) a free-rider problem
b) a coordination problem
c) a tragedy of the common problems
d) a delegation problem
e) none of the above
b) a coordination problem
The problem of overfishing is
a) a free-rider problem
b) a coordination problem
c) a tragedy of the common problem
d) a delegation problem
e) none of the above
c) a tragedy of the common problem
A "public good":
a) is easy to provide because the coasts are widely shaped
b) is likely to be provided whenever a group can benefit
from existence of the good
c) wastes taxpayer money and provides somethinf no one wants
d) is beneficial to all members of a group, if public good exists
e) none of the above
d) is beneficial to all members of a group, if public good exists
Which of the following strategy, by itself, is likely to help a group overcome a free-riding problem?
a) give someone the job of monitoring who free-rides
and who doesn't
b) give someone control over rewards and punishments
c) threaten everyone in the group with a punishment if there is any free-riding in the group
d) offer everyone in the group with a reward if there is not much free-riding in the group
e) none of the above is likely to overcome a free-rider problem by itself
e) none of the above is likely to overcome a free-rider problem by itself
In the example of the Chinese boat-pullers, the group:
a) solved its free-rider problem by whipping each other
b) solved its free-rider problem by hiring others to whip members who were not working hard
c) solved its free-rider problem by hiring others to whip members randomly
d) solved its free-rider problem by demanding higher pay for getting boats up the river
e) all of the above
b) solved its free-rider problem by hiring others to whip members who were not working hard
One person authorizing another person to act on the first person's behalf is an example of:
a) coordination
b) a prisoner's dilemma
c) free-riding
d) delegation
e) none of the above
d) delegation
Delegation tends to be problematic because:
a) in some situations people and groups have problems that cannot
be solved without delegating power
b) principals and agents often have differing interests
c) delegated power can be used against whomever delegated it
d) all of the above
e) only b and c
d) all of the above
A delegation problem occurs when:
a) an agent acts in a ways that are not in the best interests of a principal
b) a principal acts in ways that are not in the best interests of an
agent
c) a principal engages in free-riding
d) an agent engages in free-riding
e) none of the above
a) an agent acts in a ways that are not in the best interests of a principal
Which of the follow is not likely to be a useful method for limited abuse of delegated power?
a) careful selection of agents
b) monitoring agents and using possible rewards and punishments
c) paying an agent a
large sum of money up front to motivate them to do a good job
d) setting up checks and balances among agents
e) all of the above are means of trying to limit abuse of power
c) paying an agent a large sum of money up front to motivate them to do a good job
Which of the following is not an example of a delegation relationship?
a) a group of friends letting one person from the group decide what movie
the group will go to see
b) a group of relying on a critic's review to decide what movie the group will go see
c) a group of friends voting on what movie the group will go see
d) a group of friends relying on word-of-mouth to decide what movie the group will go see
e) all of the above are examples of delegation relationships
c) a group of friends voting on what movie the group will go see
Which of the following is not a reason that societies delegate authority to democratic governments?
a) to provide public order
b) to provide national defense
c) to provide laws and courts
d) to provide roads
e) all of the above are reasons that societies delegate authority to governments
e) all of the above are reasons that societies delegate authority to governments
The constitution of a government typically specifies:
a) a set of rules establishing government offices
b) a set of rules establishing how government offices are filled
c) a set of rules establishing the authority of office-holders
d) a set of rules establishing procedures for exercising authority
e) all of the above
e) all of the above
Which of the following is not a similarity of the US and British systems of government?
a) each has a legislature
b) members of the executive are chosen by voters casting votes for legislative candidates
c) each has an executive (the British Prime Minister and the American President)
d) members of the legislature are chosen by voters casting votes for legislative candidates
e) all of the above are similarities
b) members of the executive are chosen by voters casting votes for legislative candidates
Thomas Hobbes was one of the first people to write about:
a) the need for a strong government as a way of making groups of people better off
b) the need for free markets as a way of making groups of people better off
c) the need for democratic government as a way of making groups of people better off
d) the need for representative government as a way of making groups of people better off
e) all of the above
a) the need for a strong government as a way of making groups of people better off
According to Van Veehten, there iswidespread agreement that California's government:
a) has improved slightly over the last 40 years
b) has improved significantly over the last 40 years
c) worked well 40 years ago and continues to work well now
d) worked poorly 40 years ago and continues to work poorly now
e) none of the above
e) none of the above
Why are the problems with collective action hard to overcome?
collective action problems are hard to overcome because there are two fundamental barriers that block collective action from being effective, coordination and prisoner's dilemmas.
An important consideration in evaluating information supplied by a news media outlet is:
a) whether the outlet has a reputation for being factually accurate
b) whether the information comes from the outlet's news content or its editorial content
c) knowing what kind of bias the outlet has
d) how the information compares to information from other outlets
e) all of the above
?
What kind of collective action problems are traffic laws meant to solve?
...
What is coordination?
Coordination is the act of organizing a group to achieve a common goal. Coordination remains a prerequisite for effective collective action even after the disincentives to individual participation have been solved.
What is the prisoner's dilemma?
Prisoner's Dilemma- arises whenever individuals, who ultimately would benefit from cooperating with each other, also have a powerful, irresistible incentive to break the agreement and exploit the other side.
how can prisoners dilemma be solved?
can be solved by making reneging and defection very expensive and creating institutions that help parties discover opportunities to profit through cooperation and guarantee agreements are honored.
What is the Tragedy of the Commons?
is a situation in which group members overexploit a common resource, causing its destruction. The two solutions to solving this problem are regulation and privatizing
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