Explain what is meant by "in-kind transfer" programs. Briefly outline the advantages and disadvantages of an in-kind transfer program
An in-kind transfer program distributes specific goods and services to individuals who meet some criteria of need based on income. Examples of such programs include food stamps, Medicaid, and the distribution of toys and other presents during the Christmas season. Advocates of in-kind transfers argue that such transfers ensure that the poor receive assistance that is focused on basic needs such as food and medical care. Because the programs are restrictive, society is somewhat reassured that recipients are not spending their benefits on unproductive addictions such as alcohol. Advocates of cash payments argue that in-kind transfers are inefficient because the government does not know what goods and services the poor need most.
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With regard to the Navigation Acts (1651 and later amendments), all of the following answers are true except
(a) No commodities originating from the Empire were to be shipped in any but British (including colonial) ships. (b) No commodities imported into the Empire were to be carried in any but British ships. (c) Only British subjects were allowed to be merchants in the colonies, and only British ships were to carry commodities from one English port to another. (d) There is no "except"; all of the above answers are true.
A pure public good is _____ and _____
a. nonexcludable; private in consumption b. excludable; private in consumption c. excludable; collective in consumption d. nonexcludable; collective in consumption
Which of the following might explain why the government would create a price ceiling for a certain good?
a. The equilibrium price that would result in the market would be considered too high b. The equilibrium price that would result in the market would be considered too low c. The equilibrium quantity that would result in the market would be considered too high d. The equilibrium quantity that would result in the market would be considered too low e. The government never has a reason to create price floors or price ceilings
Automobiles create externalities because they are expensive and not everyone can afford the car they want.
Answer the following statement true (T) or false (F)