Property rights often remain poorly defined because of _____. a. difficulty enforcing ownership once defined b. government fiat c. strong incentives towards the status quo d. monopolies ANSWER a
Date: September 9th, 2020
The government protects rights in a market economy by providing national defense, a court system, and a well-functioning political system. a. True b. False ANSWER b
Date: September 9th, 2020
When government action is justified based on the argument that everyone agrees to be coerced _____. a. we cannot be sure that everyone is in favor of the action b. the same justification is true of market exchange c. we can be sure that the current state of affair is Pareto efficient d. the private […]
Date: September 9th, 2020
The protection of rights is an all-or-nothing proposition. a. True b. False ANSWER b
Date: September 9th, 2020
A property right _____. a. gives the owner the right to do whatever she pleases with the property b. applies to homes and cars, but not to other types of property c. does not free an individual from related obligations d. is limited by a person’s ability to protect it from predators ANSWER c […]
Date: September 9th, 2020
The government promotes economic efficiency by producing in areas where the market fails to optimally allocate resources. a. True b. False ANSWER a
Date: September 9th, 2020
The argument that government action is justified based on the fact that people would agree to be coerced to do the action if everyone else is forced to do the action is essentially an argument based _____. a. upon the transitional gains trap b. on the free rider problem c. on the ideal of the […]
Date: September 9th, 2020
Which of the following statements best summarizes why buffalo almost became extinct during the 1800s? a. Hunters from the East refused to respect the buffalo as the American Indians did. b. Demand for buffalo meat was high in Eastern markets. c. No one owned a buffalo until it was killed. d. Buffalo do not run […]
Date: September 9th, 2020
The key to reaching a Pareto optimum through mutually beneficial exchange _____. a. is to remove barriers to international trade b. is to establish property rights for valuable resources c. is to provide start-up capital to fledgling entrepreneurs d. is to encourage people to use online auction services ANSWER b
Date: September 9th, 2020
The primary problem with the argument that “we agree to be coerced if everyone is coerced” to do an action is _____. a. there is no way to know whether it is true or not b. it only applies to a limited number of situations c. it only applies to actions in the public interest […]
Date: September 9th, 2020
