Madison is a third-grade public school teacher who doesn't own a car and uses public transportation. According to public choice theory, which of the following four politicians for a public office would Madison be most likely to vote for in the upcoming election?
a. Politician A proposes increasing the property tax on personal automobiles and using the money to increase teacher salaries by 10 percent.
b. Politician B proposes an across-the-board increase in state income tax rates and using the money to increase the benefits paid to unemployed workers.
c. Politician C proposes increasing the property tax on personal automobiles and using the money to increase the benefits paid to unemployed workers.
d. Politician D proposes an across-the-board increase in state income tax rates and using the money to improve the highway system.
A
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If we consider the period from 1973 to 2007, real wages were the lowest around the year
A. 1973. B. 1979. C. 1986. D. 1996.
For a perfectly competitive firm, profit maximization occurs when
A. marginal revenue equals marginal cost. B. marginal revenue equals average total cost. C. marginal cost is equal to average total cost. D. average total cost is at its minimum.