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Suppose That Both the Local Government and a For-Profit Business

Question 1

Multiple Choice

Suppose that both the local government and a for-profit business run primary schools. The local government provides free education while the business charges fees. Everything else - students, teachers' wages, and facilities - is the same. How does the value added of the government school compare with that of the for-profit schools?


A) Government school higher.
B) Private school higher.
C) Same in both schools.

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