When incentives to earn income are distorted by income redistribution programs,
a. losses can exceed potential gains from greater equality of income.
b. total income in an economy can fall.
c. total utility in society can fall.
d. All of the above are correct.
d
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Which of the following is foreign portfolio investment sometimes called?
A. Hot investment B. Quick sale C. Hot money D. Wasteful investment
What is a situation in which two or more actors have a common interest but cannot automatically collaborate to achieve it?
a. a collective action problem b. a relative gains problem c. a transnational problem d. a sustainability problem
Using our model of consumer choice, is it possible for a consumer to buy less of a particular good when his income rises? Briefly explain
Payments to households that do not require anything in exchange are called
A) transfer payments. B) government purchases. C) consumption expenditures. D) investment expenditures.