The US Hoped to Avoid Deeper Involvement in China by ​

question 44

Multiple Choice

The US hoped to avoid deeper involvement in China by ​

• A)​allowing Stalin to act in an advisory capacity to Chiang kai-Shek.
• B)​negotiating an arrangement between Chiang and Mao.
• C)​maintaining a significant military presence in neutralized Japan to intimidate both sides of the Chinese Civil War.
• D)​relying on NATO and the United Nations to arbitrate the situation.
• E)​reluctantly endorsing Mao but not providing any support in hopes of appeasing Communist Russia.

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Definitions:

Pigouvian Tax

A tax imposed on activities that generate negative externalities, intended to correct an inefficient market outcome by internalizing the external costs.

Efficient Level

A point at which resources are allocated in the most effective manner, maximizing output without wasting resources.

Excludable

A characteristic of a good or service that allows its owner to prevent others from using it without permission.

Nonrival

A characteristic of a good whereby one person's consumption does not diminish the availability of the good for consumption by others.