Rent-seeking behavior imposes no costs on society because it is elected officials who actually make public sector decisions.

Question

Quizplus · Accepted Answer

Rent-seeking behavior can have negative impacts on society, including distorting public sector decisions and leading to inefficient allocation of resources. While elected officials do make public sector decisions, they may be influenced by rent-seekers and the costs of their behavior could ultimately be borne by society as a whole.

Rent-Seeking Behavior Imposes No Costs on Society Because It Is