Explain What Happens When a Budget Is Not Passed on Time

question 79

Essay

Explain what happens when a budget is not passed on time.  How do you think this impacts the functioning of government and citizens' view of government?

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Definitions:

Rational People

People who systematically and purposefully do the best they can to achieve their objectives.

At the Margin

Decision making based on the additional benefit or cost of one more unit of change, often used in economic analysis.

Opportunity Cost

The burden of passing over the next top choice in the hierarchy of options when deciding.

Average Cost

Calculated by dividing the total cost of production by the number of goods produced, representing the cost per unit.