Because There Are Positive Externalities from Higher Education

question 87

Multiple Choice

Because there are positive externalities from higher education,

• A)private markets will under-supply college classes.
• B)private markets will over-supply college classes.
• C)the government should impose a tax on college students.
• D)government intervention cannot improve the market for college classes.

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Definitions:

Rationalization

A defense mechanism where controversial behaviors or feelings are justified and explained in a seemingly rational or logical manner.

Freudian Component

Elements of Sigmund Freud's psychoanalytic theory which include the id, ego, and superego, responsible for different aspects of human personality and behavior.

Ego

A component of Sigmund Freud's model of the psyche that mediates between the demands of the id, the superego, and the external world, playing a crucial role in decision making and reality testing.

Unconscious

Refers to the part of the mind that contains thoughts, memories, and desires not within the sphere of current awareness but that nonetheless influence behavior.