(Consider This) from an Economist's Perspective

question 201

Multiple Choice

(Consider This) From an economist's perspective,

• A) small government is better than big government.
• B) big government is better than small government.
• C) regardless of size, government is incapable of achieving allocative or productive efficiency.
• D) the size of government doesn't matter, as long as spending occurs up to where MB = MC.

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Definitions:

Strengths and Weaknesses

An analysis or assessment of the positive (strengths) and negative (weaknesses) internal aspects of an organization.

Straight-Line Depreciation

A system for spreading out the cost of a tangible asset in equal yearly amounts across its functional life.

Average Rate of Return

A financial metric used to evaluate the profitability of an investment, calculated as the average annual profit divided by the initial investment cost.

Annual Income

The total earnings or revenue generated by an individual or business in one fiscal year before any deductions.