2. Explain and give examples of the following: a) Free Rider Problem b) Warm Glow Model c) Contracting Out

1. Many individuals might be willing to contribute $25 to the local community charity drive if they could be assured that others would do so. Explain how the free-rider problem complicates the issue of raising money for charitable purposes. 2. Jones gets a real bargain on 100 acres of land because it is near an airport. He decides to use the land to breed his prize-winning race horses. One year after buying the land, Jones sues the airport because his horses, disrupted by the noise of jet planes, are not breeding. If you were the judge, how would you decide Jones' case? Why?  

1) How does market failure provide a justification for government intervention in tourism? 2) Why is community-based approach to tourism planning and why is it so difficult to implement? 3) To what extent are Dutton and Hall’s (1989) 5 mechanisms to achieve sustainable tourism development still relevant in the 21st century?

The net benefit to society from reducing pollution is equal to Select one: a. the additional benefit plus the additional costs. b. the quantity of pollution, such as the tons of reduction in sulfur dioxide. c. the sum of the benefits of reducing pollution and the costs. d. the difference between the benefits of reducing pollution and the costs.