Figure 7-3 ​ Government Provides Many Goods and Services to the Public Because

question 175

Multiple Choice

Figure 7-3 ​

Government provides many goods and services to the public because they are not provided by free markets. Some economists believe bureaucrats who manage the programs have no interest in maximizing net benefits (profits) but instead maximize the size of a program constrained only by the need to have total benefits exceed total costs. Figure 7-3 shows total benefits and cost curves for a program. What point is the efficient point, and what point will the bureaucrat choose?

• A)A and B, respectively
• B)B and D, respectively
• C)D and C, respectively
• D)D and A, respectively

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Definitions:

Audience Preference

The tastes, interests, or needs of the intended recipients of a message or product, influencing how information is communicated.

Persuasive Message

A communication designed to convince or influence the audience to adopt a certain viewpoint or take a specific action.

Demographics

Statistical data relating to the population and particular groups within it, often used in marketing and social research.

Audience's Interest

The specific areas or topics that capture the attention and engagement of a particular group of people.