The challenge facing redistributionists is to redistribute income:
A)in the face of entrenched interests.
B)as quickly as possible.
C)in a society of apathetic voters.
D)while reducing adverse efficiency effects.

Question

Quizplus · Accepted Answer

The best choice is D because reducing adverse efficiency effects is important in implementing any policy of income redistribution. If income redistribution policies have adverse effects on efficiency, such as discouraging work effort or entrepreneurial activity, then they may not achieve their desired objectives and may actually worsen income inequality. Therefore, it is important to seek ways to redistribute income while minimizing any negative effects on efficiency. Entrenched interests, apathetic voters, and speed of implementation are also important considerations, but they are not as crucial as efficiency effects.

The Challenge Facing Redistributionists Is to Redistribute Income