If Education Has Positive Externalities

question 80

Multiple Choice

If education has positive externalities:

• A)the private market will provide an efficient allocation of resources.
• B)the private costs of production will exceed the social costs.
• C)the government can help to bring about a more efficient allocation through subsidies.
• D)the only benefits of consumption accrue to the consumers themselves.
• E)the government can help to bring about a more efficient allocation by levying education cess.

---

Definitions:

Algorithmic

Pertaining to or using a set of rules to be followed in calculations or other problem-solving operations, especially by a computer.

Heuristic

A shortcut (rule of thumb or informal guideline) used to reduce the amount of thinking that is needed to make decisions.

Informal Reasoning

The process of thinking about issues in a non-formal or structured manner, often used in everyday problem-solving and decision-making.

Schemas

Cognitive frameworks or concepts that help individuals organize and interpret information from the world around them, influencing learning and perception.