Merit Goods

question 26

Multiple Choice

Merit goods

• A) are provided for those who behave themselves and play nice.
• B) should be provided even if there is no demand for them.
• C) increase in costs along with demand.
• D) none of these answer options are correct.

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Definitions:

Economy Grows

The increase in the production of goods and services over a period, indicating economic health.

Outward Shift

A term often used in economics to describe a situation where a curve, such as the supply or demand curve, moves away from the origin, indicating an increase in supply or demand.

Production Possibility Frontier

A curve depicting the maximum achievable combination of two goods that can be produced with available resources and technology.

Technological Improvements

Advancements or enhancements in technology that lead to more efficient processes, better products, or improved ways of doing things.