Senator Blacklung Represents a State That Grows a Significant Amount

question 152

Multiple Choice

Senator Blacklung represents a state that grows a significant amount of tobacco. Not only do many of his constituents work for businesses in this industry, but the tobacco firms also make generous contributions to his reelection campaign. According to public choice theory, which of the following bills would Senator Blacklung be most likely to support?

• A) a bill proposing an increase in the tax on cigarettes to fund urban renewal programs across the nation
• B) a bill that would provide substantial subsidies for tobacco growers
• C) a bill proposing increased funding for a national antismoking awareness campaign financed by an increase in the tax on cigarettes
• D) a bill that would prohibit senators from accepting campaign contributions from firms who are involved in the production or sale of tobacco products

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Definitions:

Accounting Experience

The practical knowledge and expertise gained through working in accounting and finance roles.

Sales

The total income received from selling goods or services over a specific time period, considered a critical measure of business performance.

General Ledger

A complete record of all financial transactions over the life of an organization, serving as the primary source of information for financial reporting.