Suppose an economist advises a city's mayor to begin charging drivers a fee to drive on a busy highway during congested times. The mayor does not implement the policy because it would not be popular with voters. Which of the following statements best describes the scenario?
a. This is a common occurrence. The policymaker knows the best policy but chooses not to institute it for other reasons.
b. This is a common occurrence. The policymaker usually disregards an economist's advice because they do not believe it is the most efficient policy.
c. This is an unlikely occurrence. Most of the time, policymakers follow the advice of economists and institute the most efficient policies.
d. This would never happen. Policymakers always follow the advice of economists.
a
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Economics examines the options open to households and business firms, but ignores the options of governments and entire societies.
Answer the following statement true (T) or false (F)
During the so-called wildcat banking period in the United States,
a. there was no central authority in the U.S. banking system. b. abusive banking practices were prevalent. c. the National Banking System provided bank note security. d. there was no central authority in the U.S. banking system AND abusive banking practices were prevalent.
Which of the following assets would be considered least liquid?
a. A silver coin b. An antique automobile c. A U.S. savings bond d. A debit card e. A certificate of deposit
Which region has the lowest GDP per capita?
a. South Asia b. Latin America and Caribbean c. Sub-Saharan Africa d. Europe and Central Asia