What is the assumption underlying public-choice theory?
A) Elected officials believe in cooperating with one another and they seek to avoid competition among themselves.
B) The costs and benefits of being efficient are the same whether one is in the private sector or in the public sector.
C) Individuals act within the political process to improve their own individual well-being.
D) Resources in the public sector are not scarce.
Answer: C
You might also like to view...
When decision rights are decentralized, typically
a. decisions are being moved to those with less of the relevant information b. decisions are being moved to those with stronger incentives to make good decisions c. decisions are being moved to those with more of the relevant information d. decisions are being moved from those with weaker incentives to make good decisions
Medicaid and food stamps are:
a. forms of cash assistance. b. forms of in-kind assistance. c. available only to families. d. counterproductive.
Any basket of goods that is missing food and energy items is:
A. called the retail sales index. B. missing a small portion of a typical consumer's basket. C. a useless calculation. D. missing a large portion of consumption.
In the long run aggregate:
A. demand tends to shift to the right. B. supply tends to shift to the left. C. demand is fixed. D. supply is fixed.