If the quality or quantity of a particular public service is difficult to monitor,a government is more likely to _____
A) produce the service itself.
B) contract with private firms to supply the service.
C) take over private corporations and have these nationalized corporations produce the service.
D) refuse to provide the service.
E) raise the price of the service to consumers.
Correct Answer:
Verified
Q121: Taxing people according to their marginal valuations
Q188: Budget maximization by government bureaus results in
Q189: Special-interest legislation in a representative democracy benefits
Q190: Rent-seeking behavior imposes no costs on society.
Q191: Traditional public-goods legislation usually has a negative
Q192: Taxpayers and consumers end up paying for
Q193: The lower costs of privately operated juvenile
Q195: Rent seeking is a zero-sum game because
Q196: Resources employed to persuade the government to
Q197: Exhibit 16.2
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