If Government Were to Issue a Fixed Number of Licenses

question 45

Multiple Choice

If government were to issue a fixed number of licenses to produce a good or provide a service, this would likely:

• A) lower the price of the good or service to consumers.
• B) lower the wage received by those who have licenses.
• C) increase the wage received by those who have licenses.
• D) increase the demand for goods.

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Definitions:

Vertical Hierarchy

An organizational structure where each entity in the organization, except one, is subordinate to a single other entity, forming a pyramid-like structure of power and authority.

Horizontal Division

The organization of work or responsibilities among peers or departments at the same level within a company.

Information-Delivery Machine

A system or device designed primarily for the purpose of providing or disseminating information.

Data-Driven Dynamo

An individual or organization that excels at using data analytics to drive decisions and actions.