The Theory of Public Choice Examines

question 142

Multiple Choice

The theory of public choice examines

• A)How to apply cost-benefit analysis.
• B)The optimal government intervention to correct market failures.
• C)How a policy of laissez faire works to allocate resources.
• D)The role of self-interest in public decisions.

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Definitions:

Current Account

A component of a country's balance of payments that includes the trade balance, net primary income, and net secondary income.

European Nations

Countries located in Europe, characterized by diverse cultures, languages, and economies but often interconnected through political and economic unions.

Gold Standard

A currency regime where the national fiat currency's worth is directly pegged to gold.

Outflow Of Gold

refers to the movement of gold assets out of a country's economy, often highlighting trade imbalances or lack of confidence in the economy's standing.