Government programs that take money from high-income people and give it to low-income people typically
a. improve economic efficiency by reducing poverty.
b. reduce economic efficiency because they distort incentives.
c. have no effect on economic efficiency because they both reduce poverty and distort incentives.
d. sometimes improve, sometimes reduce, and sometimes have no effect on economic efficiency.
b
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If net exports are negative,
A) net foreign investment is positive. B) capital inflows must be less than capital outflows. C) net foreign investment is also negative. D) Both A and B are correct.
Which of the following is true?
A) A country experiencing a debt or currency crisis would contact the World Trade Organization. B) The World Trade Organization was formed at the Bretton Woods conference. C) The General Agreement on Tariffs and Trade created the World Trade Organization in the negotiations and treaty known as the Uruguay Round. D) The World Trade Organization has no power to resolve trade disputes and to enforce their resolution.