Suppose the balloon, gondola, and the passengers as a system. The center of mass of the system is at rest, so the total momentum of the system with respect to the ground is zero.
When the passenger slides down the rope, the momentum does not change. Thus, the center of mass of the system stays at rest.
Let the upward direction be positive. Then the velocity of the passenger with respect to the balloon will be\( - v\), and the velocity of the balloon with respect to the ground will be\({v_{{\rm{BG}}}}\).
The equation for the velocity of the passenger with respect to the ground is
\({v_{{\rm{MG}}}} = - v + {v_{{\rm{BG}}}}\). … (i)
Since the momentum of the system of particles is equal to the product of the total mass and the velocity of the center of mass of the system, we can write
\(m{v_{{\rm{MG}}}} + M{v_{{\rm{BG}}}} = 0\).
Substitute the value of equation (i) in the above equation.
\(\begin{array}{c}m\left( { - v + {v_{{\rm{BG}}}}} \right) + M{v_{{\rm{BG}}}} = 0\\ - mv + m{v_{BG}} + M{v_{BG}} = 0\\ - mv + {v_{BG}}\left( {m + M} \right) = 0\\{v_{BG}}\left( {m + M} \right) = mv\\{v_{{\rm{BG}}}} = v\left( {\frac{m}{{m + M}}} \right)\end{array}\)
Thus, the speed of the balloon with respect to the Earth is \(v\left( {\frac{m}{{m + M}}} \right)\) in the upward direction.
If the passenger stops, the balloon also stops. Also, the CM of the system remains at rest.