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"As Soon as I Announced My 'Get Tough on Crime

question 194

Multiple Choice

"As soon as I announced my 'get tough on crime' policy, criminals got scared and the crime rate went down." Suppose that the lower crime rate was actually caused by freezing cold temperatures in January--it was just too cold for anybody to be out robbing other people. Which fundamental economic mistake did the politician make?


Definitions:

Social Regulation

Regulations that aim to protect public welfare, including health and safety standards, environmental protections, and consumer rights.

No Free Lunch

Refers to the idea that one cannot get something for nothing; for every benefit or good received, a cost, either direct or indirect, is incurred.

Public Interest

A concept referring to the general welfare or well-being of the community at large.

Social Regulation

Government-imposed rules aimed at correcting market failures related to public health, safety, the environment, and social welfare.

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