The economic way of thinking indicates that government action will
A) never improve on the allocation of resources through markets.
B) always improve on the results of markets if the political process is democratic.
C) reflect the actions of political decision-makers seeking to advance the public interest, rather than their own personal interests.
D) either improve the well-being of the general public, or harm it, depending on the circumstances.

Question

Quizplus · Accepted Answer

The economic way of thinking acknowledges that government intervention can have varying effects on resource allocation, improving or harming public well-being based on the specific circumstances and effectiveness of the intervention.

The Economic Way of Thinking Indicates That Government Action Will