The Basic Cause of Deadweight Losses from the Existence of Common

question 204

Multiple Choice

The basic cause of deadweight losses from the existence of common resources and externalities is

• A)a lack of clearly defined and enforceable property rights.
• B)the self-interested rationality of human beings.
• C)the use of a market system to deal with scarcity.
• D)the absence of government intervention.

---

Definitions:

Dishonest Politician

A political figure who engages in deceitful or fraudulent practices.

Intuitions

Intuitions are immediate understandings, knowledge, or beliefs that come without the need for conscious reasoning.

Explicit Conscious

Direct, clear awareness of mental activities, such as thinking, feeling, and decision-making.

Effortless

Achieved with remarkable ease and without apparent difficulty or exertion.