Why should people without children pay some tax to support local schools?
What will be an ideal response?
Education generates an external benefit. Society as a whole, including people without children, benefits from having better educated citizens. Such a tax provides the funding for a subsidy that helps achieve the efficient amount of education.
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In the model of public goods
A) government spending is pure waste B) private consumption and government spending are equal. C) consumers benefit from private goods and public goods. D) the government provides goods at no cost to the public.
Harry is a computer company executive, earning $200 per hour managing the company and promoting its products. His daughter Quinn is a high school student, earning $6 per hour helping her grandmother on the farm. Harry's computer is broken. He can repair it himself in one hour. Quinn can repair it in 10 hours. Harry's opportunity cost of repairing the computer is lower than Quinn's
a. True b. False Indicate whether the statement is true or false
All of the following are aspects of microeconomics EXCEPT
A) monopolies. B) a firm maximizing profit. C) a worker choosing one job over another. D) the average level of prices of all goods and services produced in a country in a year.
The federal government began officially measuring poverty in the
A) 1860s. B) 1900s. C) 1980s. D) 1960s.