Government policies resulting in reduced efficiency include
(i)the welfare system
(ii)unemployment insurance
(iii)progressive income tax
A)(i) only
B)(ii) only
C)(i) and (ii) only
D)(i), (ii), and (iii)

Question

Quizplus · Accepted Answer

All three policies can potentially reduce efficiency: welfare systems and unemployment insurance may reduce incentives to work, while progressive income tax can discourage high earners from increasing their income.

Government Policies Resulting in Reduced Efficiency Include