The worst case scenario for the negative effects of competition for economic development between local governments is that it may

Question

Quizplus · Accepted Answer

"Beggar thy neighbor" policies refer to economic policies adopted by local governments aimed at benefiting themselves at the expense of their neighbors. This can lead to a race to the bottom, where local governments compete in ways that are ultimately harmful to economic development as a whole, such as by offering unsustainable tax incentives to attract businesses.

The Worst Case Scenario for the Negative Effects of Competition