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Two business units operate out of different buildings in a large city.They offer distinct products to customers and have their own budgets.However,they must share training facilities located at headquarters,also located in the city.This often creates conflict because both business units tend to want the training facilities at the same time.Describe the source(s)of conflict that are apparent in this situation and describe two potential solutions that would minimise this conflict.
Economically Inefficient Outcomes
Situations where resources are not allocated optimally, leading to a decrease in overall welfare or a misallocation of resources that could result in lost benefits for society.
Public Choice Theory
A branch of economics that studies how economic theories and methodologies can be applied to political science, focusing on the behavior of voters, politicians, and government officials.
Government Decision Making
The process by which government bodies decide on policies, laws, and budget allocations among other official actions.
Budget Deficits
A financial situation where a government's expenditures exceed its revenues, leading to increased borrowing or reduced spending.
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