microeconomics ch 5

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Which of the following are potential problems with directing and managing government?

The Governments massive size and scope, it is difficult for the government to effectively aggregate information from bottom to top

What is the correct criterion in evaluating government programs?

The size of the government: A smaller government has lower taxes.

An unfunded liability for a govenrment program implies that:

Projected government expenditure exceeds projected government revnue for the program

A Special interest issue is one whose passage yields:

Large econnomic gains to a small number of people and small economic losses to a large number of people.

Politicization off fiscal and monetary policy refers to:

The use of fiscal and monetary policy to help politicians before an election

Which of the following is the most likely cause of unfunded liabilities?

The beneift of the program is immediate while the cost is in the distant future

It is often argued that government aws and regulatios have unintended consequences. Which of the following is an uninteded consequence of the 2010 healthcare reform law?

Companies are reducing full-time employees to part time employees

The concept of limited choices, as used in public choice theory, refers to the fact that:

Voters must select a candidate who represents a bundle of various public policy programs and who can’t register support or opposition for specific programs.

Public choice theory focuses on the economics of

government decision making, politics and elections

Regulatory capture is problematic for which of the following reasons?

The regulations governing an industry are set by the industry itself

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