Compare a property rights system in which people are allowed to keep one-third of the monetary rewards of their labor with a system in which they keep two-thirds.An economist would expect that more people to decide to go to work under the __________ system and that many of those already working would decide to work more under the __________ system.
A) former; former
B) former; latter
C) latter; former
D) latter; latter

Question

Quizplus · Accepted Answer

Economists would expect more people to decide to work and those already working to work more under the system where they keep a larger portion of their earnings (two-thirds), as it provides a greater incentive.

Compare a Property Rights System in Which People Are Allowed