“Political logrolling solves the problem of inefficient outcomes in the provision of public goods.” Evaluate
Please provide the best answer for the statement.
This statement is not completely true. While in some cases vote trading can allow citizens to express their preferences for public goods and achieve a more efficient outcome, this is not always the case. A combination of public goods may be implemented even through their cost is greater than their benefit. Those engaging in vote trading may believe that the benefit they gain from obtaining their public good will be more than sufficient, even if it negatively impacts others. Thus, logrolling does not guarantee an efficient outcome.
You might also like to view...
When the expenditure level is above the full employment level of GDP, a possible consequence is
a. falling prices. b. rising prices. c. falling disposable income. d. high levels of unemployment.
The act of buying a commodity in one market at a lower price and selling it in another market at a higher price is known as:
a. selling short. b. buying long. c. arbitrage. d. a tariff.
The annual Great Sofa Round-up is a collaborative event between Colorado State University and the City of Fort Collins aims to help students and neighbors get rid of unwanted furniture, while giving people in need access to inexpensive sofas
Suppose on the day of the Round-up, your friends take their couches to the main parking lot on campus where the Round-up is held. Raj will not sell his couch for less than $30, Emily will not sell her couch for less than $50, Nara will not sell her couch for less than $20, Sergio just wants to get rid of his couch and he is willing to give it away for free. At the Round-up, potential buyers think that all the couches available are basically the same and they are willing to buy a couch for $25. Who will sell their couch and what is the value of the market producer surplus? A) Nara and Sergio; $30 B) Nara and Sergio; $5 C) Raj and Emily; $30 D) Emily, Nara, and Sergio; $25
"The United States should adopt more open trade policies because they historically have caused increased economic growth." This is an example of what kind of statement?
A. Unequivocally true B. Normative C. Positive D. Unequivocally false