Which of the Following Is True

question 90

Multiple Choice

Which of the following is true?

• A)The government may be able to overcome the free rider problem with public goods by providing the public goods and imposing taxes to pay for them.
• B)The nature of public goods is such that the government cannot accurately assess the benefits and costs of those affected.
• C)National defense and flood control are illustrations of public goods.
• D)Just as in the case of external benefits, public goods tend to be underprovided by the private sector.
• E)All of the above are true.

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Definitions:

Availability Heuristic

A mental shortcut that relies on immediate examples that come to a person’s mind when evaluating a specific topic or decision.

Explicit Bias

Prejudice or favoritism toward a group or individual that is consciously identified and directly expressed by an individual.

Just-World Phenomenon

The cognitive bias to believe that the world is inherently fair, causing people to rationalize an unfortunate situation as deserved by the victim.

Ingroup Bias

The tendency to favor members of one's own group over those in other groups in terms of preference, trust, and favoritism.