Which of the Following Occurs If Government Intervention Forces the Economy

question 104

Multiple Choice

Which of the following occurs if government intervention forces the economy inside the production possibilities curve?

• A)Market failure.
• B)Government failure.
• C)Externalities.
• D)Income inequality.

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Definitions:

Diathesis

A predisposition or vulnerability for the development of an illness or disorder.

Meehl's Theory

Refers to Paul Meehl’s contributions to clinical versus statistical prediction of behavior and his work on the etiology of schizophrenia.

Frontal Lobe Deficiency

Refers to impairments in the frontal lobe of the brain, which can affect decision making, problem solving, impulse control, and social behavior.

Schizophrenia

A chronic mental disorder characterized by distortions in thinking, perception, emotions, language, sense of self, and behavior.