From the Standpoint of Society as a Whole, Rent Seeking

question 12

Multiple Choice

From the standpoint of society as a whole, rent seeking is

• A) counterproductive because it takes resources away from the creation of wealth in the private sector.
• B) counterproductive because it fails to alter public policy.
• C) productive because each interest group gains more than they spend on rent-seeking activities.
• D) productive because the resources used in rent seeking have no opportunity cost to society.

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Definitions:

Sales Goals

Specific objectives set by a business related to the amount of product or services sold within a particular timeframe.

Proprietorship

A type of business entity owned and run by one individual, with no distinction between the business and the owner.

Personal Loans

Unsecured loans given to individuals based on their credit score and other factors, used for personal expenses.

Debts

Money that is owed or due to another individual or entity.