Which of the Following Types of Government Spending Are Likely

question 12

Essay

Which of the following types of government spending are likely to help economic growth? Why?
(A)FBI spending on advertising for new recruits
(B)Spending by NASA on research for a new solar panel
(C)Funding to improve the interstate highway system
(D)Spending by the federal government to send all 4-year-olds to preschool
(E)Spending by the federal government on research into alternative fuels to gasoline
(F)Subsidies to place more artwork in public places,such as the cows in Chicago

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Definitions:

Final Goods

Refers to products that have completed the manufacturing process and are purchased by consumers without further processing.

Margin

The difference between the cost of a product or service and its selling price.

Economics

The efficient allocation of the scarce means of production toward the satisfaction of human wants.

Input

Resources used in the production process, including labor, materials, machinery, and other factors of production.