Which of the Following Statements Is Correct

question 16

Multiple Choice

Which of the following statements is correct?

• A)Private goods yield direct benefits to the purchaser and are financed by government.
• B)Public goods yield widespread external benefits and are purchased by government with tax revenues.
• C)Public goods are bought voluntarily out of private incomes and yield no significant external benefits.
• D)Public goods are bought voluntarily out of private incomes and yield widespread external benefits.

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Definitions:

Emotional Reactions

The spontaneous and subjective experience of feelings in response to stimuli, which can influence thoughts and behavior.

Two-Factor Theory

A psychological theory proposing that emotional experiences arise from a combination of a state of physiological arousal and a cognitive interpretation of that arousal.

Stanley Schachter

A psychologist known for his work on social and emotion theories, particularly the two-factor theory of emotion.

Jerome Singer

An American psychologist known for his research on daydreaming, imagination, and the psychology of the arts.