Why do institutions such as private property rights promote economic growth?
A) Private property rights guarantee that the economy is stable in the short run,which encourages investment.
B) Private property rights are usually forced on a country,whereas collective ownership is voluntarily adopted.
C) Private property rights create an incentive to maximize the value of one's property,which is not true when property is collectively owned.
D) Private property rights guarantee that everyone will have equal amounts of property.
E) Private property rights are not established by governments but rather by private individuals.
Correct Answer:
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