Economists Differ in Their Views of the Role of the Government

question 106

Multiple Choice

Economists differ in their views of the role of the government in promoting economic growth. At the very least, the government should

• A)lend support to the invisible hand by maintaining property rights and political stability.
• B)limit foreign investment to industries that don't already exist in the country.
• C)impose trade restrictions to protect the interests of domestic producers and consumers.
• D)subsidize key industries.

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Definitions:

Theory

An abstract set of ideas or principles that explains phenomena or aspects of the natural or social world.

Radical Behaviorists

Psychologists who follow a doctrine emphasizing the external behaviors of people and their reactions on a given situation, largely ignoring internal processes like cognition.

Behavioral Observations

The method of studying subjects' actions in their natural settings without intervention.

Internal Processes

Internal processes involve the cognitive, psychological, and physiological operations that underlie an individual's mental and emotional functioning.