To enhance social welfare,the government should encourage the production of _____
A)private goods.
B)goods that produce moral hazard.
C)goods that produce positive externalities.
D)goods that have close substitutes.
E)goods that produce negative externalities.

Question

Quizplus · Accepted Answer

Goods that produce positive externalities have a positive impact on society as a whole, beyond just the individual purchaser or seller. Examples include education, healthcare, and public transportation. By encouraging the production of these goods, the government can contribute to enhancing social welfare.

To Enhance Social Welfare,the Government Should Encourage the Production of _____