Which of the Following Characterizes the Largest Difference Between the Way
Which of the following characterizes the largest difference between the way decisions are made in the private sector versus the public sector?
A) The incentive system for individuals to perform efficiently are vastly different.
B) The workers themselves are really quite different types of people.
C) In both sectors individuals will try to maximize their own individual gains over the gains of others.
D) Costs and resources are vastly different in each sector.
Government goods are provided to the consumer at a zero price. This means that
A) the cost to society is zero.
B) the political system is run by proportional rule.
C) people are getting something for nothing.
D) the cost of the goods is the value of the resources used to produce the good.
Which of the following is TRUE about the political and market systems of voting?
A) The political voting system functions according to proportional rule, while the market voting system functions according to majority rule.
B) The political voting system functions according to majority rule, while the market voting system functions according to proportional rule.
C) The political voting system functions according to minority rule, while the market voting system functions according to majority rule.
D) The political system and the market system are identical.
What is the assumption underlying public-choice theory?
A) Elected officials believe in cooperating with one another and they seek to avoid competition among themselves.
B) The costs and benefits of being efficient are the same whether one is in the private sector or in the public sector.
C) Individuals act within the political process to improve their own individual well-being.
D) Resources in the public sector are not scarce.