Rent-Seeking Behavior in Public Choice Theory Refers to

question 207

Multiple Choice

Rent-seeking behavior in public choice theory refers to

• A) politicians trading votes with one another.
• B) receiving perks and freebies from businesses trying to sway their votes.
• C) specific groups appealing to government for special benefits at someone else's expense.
• D) politicians getting low rent for their living quarters when government is in session.

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Definitions:

Defined Contribution Plan

A retirement plan in which the employer, employee, or both make contributions on a regular basis, but the final amount received by the employee depends on the plan's investment performance.

Projected Benefit Obligation

An actuarial calculation of the present value of future pension benefits earned to date by employees, based on expected salary increases.

Vested Benefits

Employee benefits (such as pension plans) that are fully entitled to the employee, not contingent on further employment.