One Way That Government Can Increase the Production of Goods

question 240

Multiple Choice

One way that government can increase the production of goods that have external benefits is to

• A) tax the activity.
• B) subsidize the activity.
• C) use marketable permits.
• D) Both answers B and C are correct.

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Definitions:

Horney

Refers to Karen Horney, a psychoanalytic psychologist known for her theory on neurotic personality development and her disagreement with some of Freud's theories.

Maslow

An American psychologist known for creating Maslow's hierarchy of needs, a theory of psychological health predicated on fulfilling innate human needs in priority, culminating in self-actualization.

Experimental Observations

Data and insights gathered from controlled experiments designed to test hypotheses and understand the causality in scientific research.

Correlational Research

A type of non-experimental research method that examines the relationship between two or more variables without manipulating them.