Property Rights and a Strong Titling System Are Seen as Important

question 108

Multiple Choice

Property rights and a strong titling system are seen as important to economic development because they allow:

• A) loans to be taken out against the equity of their assets, increasing investment.
• B) loans to be taken out without risk, increasing the quality, but not quantity, of investment.
• C) savers to invest in property and capital.
• D) governments to charge higher tax rates on untitled property.

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Definitions:

Marketing Rights

The permissions or licenses which a business or individual owns to market or sell a specific product, service, or intellectual property within a given territory.

Dominant Strategy

A dominant strategy is the best course of action for a player no matter what the other players do, in game theory and economic strategy.

Nash Equilibria

A concept in game theory where no player can benefit by changing strategies if others keep their strategies unchanged.

Subsidized Payoffs

Financial benefits provided, often by a government, to support or encourage certain activities or reduce associated costs.