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Which of the Following Regional or Urban Policies Would Be

Question 63

Essay

Which of the following regional or urban policies would be advocated by free market economists and which by interventionists?
(a) Offering local facilities and the improvement of local infrastructure for potential new business
free market/interventionist
(b) The migration of labour should be encouraged by the reduction of benefit levels
free market/interventionist
(c) Capping high- spending local authorities, that impose excessive local taxation, since high taxation is a disincentive to firms locating in particular areas
free market/interventionist
(d) The government preventing the location of firms in already prosperous parts of the country
free market/interventionist
(e) Replacing nationally negotiated wage agreements by locally negotiated ones
free market/interventionist
(f) Provision of a range of local subsidies and grants to firms
free market/interventionist
(g) Setting a uniform business rate across the whole country
free market/interventionist

Correct Answer:

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(a), (d) and (f) are all interventionist...

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