On the limits of unsolvability of the “free rider problem”

Andrei Yudanov, Olga Pyrkina and E. Bekker ()

Voprosy Ekonomiki, 2016, issue 11

Abstract: The article reinterprets the classic «free rider problem» known as unsolvable from the position of how the free rider’s surrounding affects him. It introduces the concepts of public and private harm from the free rider’s activity. It also describes a wide variety of manifestations of the “free ridership” in which the private harm suffered by significant social groups is large enough to cause on their part an active opposition to free riders. According to the authors, under proper institutional conditions this opposition results in effective decision of the “free rider problem”. They offer a mathematical model of the process: the Markov chain with a single or multiple absorbing states.

Date: 2016
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Persistent link: https://EconPapers.repec.org/RePEc:nos:voprec:y:2016:id:253

DOI: 10.32609/0042-8736-2016-11-57-75

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