According to public choice theorists,the behavior of people employed in the public sector is likely to differ from the behavior of people employed in the private sector because
A) the two sectors are likely to attract people of different psychological profiles.
B) government employees are likely to exhibit more civic responsibility than private-sector employees.
C) the same objective to maximize one's net benefit will produce different behavior in different institutional settings.
D) all of the above
E) a and b

Question

Quizplus · Accepted Answer

Public choice theorists argue that the institutional setting shapes individuals' behavior, and the incentives and constraints faced by public sector employees are different from those in the private sector. Therefore, the same objective of maximizing one's net benefit will produce different behavior in different institutional settings. The answer choices A and B are not convincing explanations for the difference in behavior between public and private sector employees as they rely on assumptions about the psychological profiles and civic responsibility of individuals, which may not be supported by evidence.

According to Public Choice Theorists,the Behavior of People Employed in the Public