Person a Argues That Government Is Unnecessary and Often Does

question 42

Multiple Choice

Person A argues that government is unnecessary and often does more harm than good.Economist A disagrees.What does economist A --- who believes that there is a legitimate case that can be made for government --- most likely say to support his position?

• A) Government almost always does more good than harm.
• B) Without government,life would be anarchy.
• C) There are some things that individuals want done that can't get done without government.
• D) There are better people going into government work than are going into the private sector.
• E) none of the above

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Definitions:

Semiannual Payments

Payments made twice a year, often used in the context of bond interest payments or certain types of loans.

Compounded Semiannually

Interest calculation method where interest is added to the principal sum of a deposit or loan twice a year, resulting in interest earning interest.

Compounded Annually

A method of calculating interest where the interest earned each year is added to the principal, leading to an increase in the amount of interest earned in subsequent years.

Present Value

The current worth of a future sum of money or stream of cash flows given a specified rate of return, used in discounting and investment appraisal.