Eugene Owns a House and Land in a Middle-Class Neighborhood

question 1

Multiple Choice

Eugene owns a house and land in a middle-class neighborhood. He is upset that the mayor has increased the sales tax to fund public school programs. As discussed in the text, Eugene should not be upset because:

• A) property tax provides only a small percentage of funding for education expenses.
• B) school strengthens minority cultural norms.
• C) middle-class children benefit the most from a quality education.
• D) property values are increased when schools are of high quality.

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Definitions:

Social Perspective

The viewpoint focusing on how societal contexts influence individuals and groups, including norms, values, and social institutions.

Marginal Private Benefit

The extra advantage gained by either the consumer or producer from the consumption or production of an additional unit of a product or service.

Efficient

Refers to the optimal use of resources to achieve the desired outcome with minimal waste or effort.

MSB = MSC

A condition in economics where the marginal social benefit of production is equal to its marginal social cost, considered an optimal point of resource allocation.