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The Political Constraint Facing the Public Sector Is Less Binding

Question 11

Multiple Choice

The political constraint facing the public sector is less binding than the profit constraint facing the private sector because:


A) All services that the public sector provides are indispensable.
B) Public sector managers can escape accountability for their management decisions.
C) Taxpayers are often well-informed about the public debt.
D) Tax revenues continue to flow in even if the services are not provided in the event of a strike.
E) Future taxpayers have little representation in the current political process, and can be saddled with public debt.

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