An Important Assumption in the Theory of Public Choice Is

question 277

Multiple Choice

An important assumption in the theory of public choice is that

• A) individuals will act within the political process to maximize their individual well-being.
• B) individuals will act within the political process to maximize their collective well-being.
• C) individuals will only operate outside the political process when their well-being is involved.
• D) scarcity does not exist in the government sector.

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Definitions:

Significant Degree

A high level or extent of importance or impact that an element or factor has in a particular context.

Inter-Entity Transactions

Transactions that occur between different entities within the same group, needing to be eliminated during consolidation to avoid double counting.