If general tax revenues were used to subsidize production of toothpicks, the government's actions would have
A)widespread benefits and costs
B)widespread costs and concentrated benefits
C)concentrated benefits and costs
D)widespread benefits and concentrated costs
E)widespread benefits and either widespread or concentrated costs

Question

Quizplus · Accepted Answer

Subsidizing toothpick production would benefit a specific industry (concentrated benefits) while the cost is spread across all taxpayers (widespread costs).

If General Tax Revenues Were Used to Subsidize Production of Toothpicks