Suppose Each Person in a Community Had to Pay for His

question 195

Multiple Choice

Suppose each person in a community had to pay for his or her own education from kindergarten through high school. One would expect that:

• A) less education would be acquired, since society has not considered the positive external benefits of education.
• B) more education would be acquired, since society has not considered the positive external benefits of education.
• C) the optimal amount of education would be acquired by community members, since they each paid for the amount of education they wanted.
• D) a Pigouvian tax would ensure the optimal amount of education.

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Definitions:

Perceptual Set

Perceptual set refers to a predisposition or readiness to perceive something in a particular way, influenced by expectations, emotions, and experiences.

Bottom-up Processing

A method of information processing that starts with sensory input and builds up to the formation of perception from the basic stimuli.

Phi Phenomenon

A visual illusion where separate images shown in rapid succession appear to be a single moving image.

Phi Phenomenon

An optical illusion of perceiving continuous motion between separate objects viewed rapidly in succession.