What is the social interest? Distinguish it from self-interest. In your answer give an example of self-interest and an example of social interest
What will be an ideal response?
The social interest looks at what is best for society as a whole; choices that are best for society as a whole are said to be in the social interest. The self-interest looks at what is best for the individual; choices that are best for the individual making the choice are said to be in the self-interest. An example of a choice made in the self-interest is a student's decision to take an economics class. An example of a choice made in the social interest is a firm's decision to reduce its air pollution.
You might also like to view...
An increase in the reserve requirement
A) increases the money supply, which leads to increased interest rates and a decrease in GDP. B) decreases the money supply, which leads to increased interest rates and a decrease in GDP. C) decreases the money supply, which leads to decreased interest rates and a decrease in GDP. D) increases the money supply, which leads to decreased interest rates and a decrease in GDP.
Which of the following statements is true?
A. Government cannot remove individuals from a prisoner's dilemma setting and make them better off. B. As long as government charges each individual a tax that is more than the gain received by being removed from a prisoner's dilemma setting, then government makes that individual better off. C. Government can remove individuals from a prisoner's dilemma setting by changing the payoff matrix. D. a and c E. all of the above
U.S. exports are $300 billion, U.S. imports are $500 billion. Which of the following are consistent with the level of net exports?
a. The U.S has a trade surplus. The U.S. purchases $800 billion worth of foreign assets and foreign countries purchase $600 billion worth of U.S. assets. b. The U.S. has a trade surplus. The U.S. purchases $600 billion worth of foreign assets and foreign countries purchase $800 billion worth of U.S. assets. c. The U.S has a trade deficit. The U.S. purchases $800 billion worth of foreign assets and foreign countries purchase $600 billion worth of U.S. assets. d. The U.S. has a trade deficit. The U.S. purchases $600 billion worth of foreign assets and foreign countries purchase $800 billion worth of U.S. asset.
Which of the following statements is true?
A. All people in poverty are on welfare. B. Unemployment compensation is an example of an in-kind transfer. C. Temporary Assistance to Needy Families (TANF) is an example of a cash payment made by government to the impoverished. D. After cash assistance and in-kind transfers are considered the distribution of income in the United States is more unequal.