Economists Refer to the Lack of Incentive That Voters Have

question 206

Multiple Choice

Economists refer to the lack of incentive that voters have to search for and obtain information to help make better political choices as the

• A) shortsightedness effect.
• B) public-interest effect.
• C) free rider problem.
• D) rational-ignorance effect.

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Definitions:

Policy Issues

Topics or problems that require governmental or organizational decision-making and action for resolution.

Normative Economic Statement

Statements that reflect opinions, beliefs, or values about what the economy should be like, rather than what it actually is.

Inflation Rate

The rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling.

Energy Prices

The cost of energy resources, such as oil, gas, and electricity, which can fluctuate based on supply and demand.