The "Yes - Markets Self-Adjust" and "No - Markets Fail

question 235

Multiple Choice

The "Yes - Markets Self-Adjust" and "No - Markets Fail Often" camps agree

• A) that fiscal policy can affect aggregate supply.
• B) that tax cuts have some supply-side incentive effects.
• C) that externalities from research and development create a role for government in correcting market failure.
• D) that education and training have positive externalities.
• E) on all of the above.

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Definitions:

Vicarious Learning

The process of learning through observing the actions and consequences of others' behavior, rather than through direct experience.

Latent Learning

Acquisition of knowledge that happens without apparent rewards or reinforcements for the behaviors or associations being learned.

Operant Conditioning

A technique in teaching that relies on the application of rewards and disciplining to influence behavior.

Observational Learning

The process of learning behaviors by watching and imitating others, also known as modeling.