If the government takes over the distribution of some scarce good in a time of a natural disaster and provides the good at no charge to users,what must also be done?
A) The government must produce the good itself.
B) Some rationing mechanism must be set up to determine who gets the good.
C) Everyone hurt in the natural disaster must get one of the goods.
D) nothing
E) Because we live in a democracy, the government must use majority rule as the rationing mechanism.

Question

Quizplus · Accepted Answer

Without a rationing mechanism, there may be chaos and hoarding, and those who need the scarce good the most may not receive it. The government must set up a fair system to distribute the good to those who need it most.

If the Government Takes Over the Distribution of Some Scarce