113 review questions copy

B some degree of wealth redistribution is acceptable

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: ? A. Wealth redistribution should be minimized in order to avoid a deleterious impact on wealth creation. B. Some degree of wealth redistribution is acceptable but wealth creation is ultimately more important. C. Wealth redistribution choices should be based on a clear understanding of the deleterious impact on wealth creation. D. Both B and C. 7. An economy exhibits market failure if A. the equilibrium of that economy is not Pareto efficient. B. the equilibrium of that economy is unfair. C. Both A and B. D. None of the above. 8. Which of the following is not a class of market failure? A. Externalities and public goods. B. Asymmetric information among buyers and sellers. C. Income inequality. D. Market power. 33 Answer Key 1. 2. 3. 4. 5. 6. 7. 8. B B B C A C A C 34 Economics 113 Introduction to Economics for Policy Analysis Review Questions Topic 8 1. “The only role for economics in redistribution policy is to bring attention to the potential conflict between wealth redistribution and wealth creation”. True or f...
View Full Document

This document was uploaded on 03/03/2014.

Ask a homework question - tutors are online