Bundle: Principles of Economics, 8th + MindTap Economics, 1 term (6 months) Printed Access Card
Bundle: Principles of Economics, 8th + MindTap Economics, 1 term (6 months) Printed Access Card
8th Edition
ISBN: 9781337378710
Author: N. Gregory Mankiw
Publisher: Cengage Learning
Question
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Chapter 12, Problem 7PA

Sub part (a):

To determine

The categorization of the given scenarios under benefit principle and ability to pay principle.

Sub part (b):

To determine

The categorization of the given scenarios under benefit principle and ability to pay principle.

Sub part (c):

To determine

The categorization of the given scenarios under benefit principle and ability to pay principle.

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Mr. Saeed Ahmed loves watching sports channel on his local public TV station, but he never sends any money to support the station during its fund-raising drives. What name do economists have for people like Mr. Saeed Ahmed? b. How can the government solve the problem caused by people like Mr. Saeed Ahmed? c. Can you think of ways the private market can solve this problem? How does the existence    of cable TV alter the situation?
h. A $1,200 stimulus check sent to households by the government as COVID relief
Governments may not have the incentive to correct a market failure because Kerajaan mungkin tidak berinsentif untuk membetulkan kegagalan pasaran kerana. a. the benefits are greater than costs of correcting the market failure faedahnya lebih besar daripada kos membetulkan kegagalan pasaran b. governments may miscalculate the tax rate to be applied kerajaan mungkin tersilap dalam pengiraan kadar cukai yang akan dikenakan c. governments rarely have the information required to correct the market failure kerajaan jarang mempunyai maklumat yang diperlukan untuk membetulkan kegagalan pasaran d. governments normally involve political decisions, which are reflected by individual interest to gain more for themselves
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