King Rat (gkr) wrote,
King Rat

Eco 200: volunteer fire-fighting

(group) Should the members of a volunteer fire department refuse to put out a fire in the home of someone who has refused to contribute to the fire-fighting service? (Assume that no property of subscribers is in danger.) What damage would they be doing by putting out the fire?

If they do not, they will be looked at as businesses look on the mob shaking down residents for protection money. They will lose business. If they do, they will lose business as residents determine their homes will be saved whether they pay or not. Basically, they have to hope fires at non-subscribers places happen very infrequently compared to subscribers places, or they will lose lots of business. Or find a different business model.


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