The State of Choosing Not to Acquire Information Because the Costs

question 54

Multiple Choice

The state of choosing not to acquire information because the costs of acquiring the information are greater than the benefits is referred to as

• A) logrolling.
• B) rational ignorance.
• C) market failure.
• D) government failure.

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Definitions:

United States

A country located in North America, consisting of 50 states and known for its significant influence on global culture, economy, and politics.

Antitrust Policy

Legislative and regulatory efforts undertaken by the government to prevent oligopolistic industries from becoming or behaving like monopolies.

Monopoly Power

The ability of a business to control market prices and total market output due to the lack of competition.

Federal Government

The national level of government organization, having authority over broader issues that cross state lines, such as defense, foreign policy, and monetary policy.