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The "No - Markets Fail Often" Camp Agrees with All

Question 26

Multiple Choice

The "No - Markets Fail Often" camp agrees with all of the following statements except which one?


A) Tax cuts are less effective than government spending for speeding up the economy because savings can cause transmission breakdowns.
B) Market failures create a need for hands-on government.
C) Democratically elected politicians are the right people to make choices about how to spend taxpayers' money.
D) Government spending is determined by political influence rather than need.
E) Tax increases are preferred to reduced government spending for slowing down the economy.

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