The tradeoff between equity and efficiency is evident in debates over
A)how progressive our tax code should be.
B)how generous our government spending programs should be.
C)the debate over international trade policy.
D)the debate over labor unions.
E)all of the above.

Question

Quizplus · Accepted Answer

All of the options (A through D) illustrate debates where the tradeoff between equity (fairness) and efficiency (economic productivity) is evident. Progressive taxation, government spending programs, international trade policy, and labor unions all involve balancing the goal of a fairer distribution of resources with the goal of maximizing economic output or efficiency.

The Tradeoff Between Equity and Efficiency Is Evident in Debates