What Is One of the Greatest Difficulties That Governments Face

question 20

Multiple Choice

What is one of the greatest difficulties that governments face in today's global economy,according to your textbook?

• A)the huge tax avoidance schemes employed by the multinationals
• B)how to ensure the competitiveness of their state so that they continue to attract business,while at the same time ensuring expenditure on things that strengthen social capital
• C)whether its citizens are treated more as 'citizens' and provided with social goods such as health,education etc.as a result on entitlement due citizenship rights or whether its citizens are treated more as 'consumers' - and so charged for access to such social goods
• D)all of these

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Definitions:

Industry

A sector of the economy that includes businesses and organizations that produce similar goods or services.

Economic Costs

The sum of explicit and implicit costs which represent the total opportunity costs of resource utilization in the production of goods or services.

Opportunity Costs

The loss of potential gain from other alternatives when one alternative is chosen.

Explicit Costs

Direct, out-of-pocket payments for expenses incurred in conducting business, such as wages, rent, and materials.