Which of the Following Occurs If Government Intervention Forces the Economy

question 97

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:

Norms

Established standards of behavior or beliefs that are considered typical or acceptable within a group or society.

Infractions

Breaches or violations of rules or agreements.

Empirical Evidence

Empirical evidence is information acquired by observation or experimentation that serves as the basis for knowledge and theory development.

Unconscious Motivation

Psychological forces that operate in the mind on a subconscious level to influence behavior and feelings.