Public Choice Deals with

question 25

Multiple Choice

Public choice deals with

• A)negative and positive externalities.
• B)public-sector decision making.
• C)how people choose between several mutually exclusive options.
• D)bond, stock, and money markets.

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Definitions:

Budget Line

A graphical depiction of all possible combinations of two goods that a consumer can afford given their income and the prices of the goods.

Money Income

The total amount of monetary earnings received by an individual or household, including wages, salaries, and investment returns.

Fixed

Relates to assets or costs that do not change with the level of production or business activity in the short term.

Linear

A term describing something arranged in or extending along a straight or nearly straight line.