How does a government-sponsored good differ from a public good?
What will be an ideal response?
A public good is characterized by the fact that consumption is not rival and by the presence of the free-rider problem. Government-sponsored goods are private goods that the political process has deemed desirable.
Economics
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Use the following graph to answer the next question.
Which of the following factors will shift AD1 to AD2?
A. An increase in national incomes abroad. B. An increase in real interest rates. C. A decrease in the value of financial assets. D. A decrease in the general price level.
Economics
Since the Second World War, the severity of the business cycle has lessened.
Answer the following statement true (T) or false (F)
Economics