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28. Which of the following factors weakens the case for government provision of goods and services relative to private-sector provision?

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28. Which of the following factors weakens the case for government provision of goods and services relative to private-sector provision? a. monopoly b. externalities c. public goods d. the special-interest effect ____ 29. When analyzing public sector decision making, economic theory assumes that voters, politicians, and government officials will a. respond to changes in personal benefits and costs when making public sector choices. b. pursue the public interest even when it conflicts with their private interests. c. pursue primarily public interests because competition is less intense in the public sector. d. do none of the above. ____ 30. Which of the following is a predictable side effect of increased government activity (e.g., taxes and subsidies) designed to redistribute income among citizens? a. improvement in the operational efficiency of government agencies b. budget surpluses c. reduction in the poverty rate d. an increase in rent-seeking activity
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