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PLEASE ANSWER ALL QUESTIONS ASAP!!!! According to the special-interest theory of

ID: 1110992 • Letter: P

Question

PLEASE ANSWER ALL QUESTIONS ASAP!!!!

According to the special-interest theory of government, government officials and policymakers:

are assumed to maximize the social good.

tend to listen to small groups of people who contribute money to their political campaigns.

manage resources to maximize efficiency.

have a strong incentive to ensure that society's members equally benefit from a project.

Which of the following is NOT an example of natural monopoly?

water systems

electricity transmission

local telephone services

farm products

The problems of thin markets can be addressed by:

guaranteed price matching.

increasing the number of sellers in the market.

warranties and repair guarantees.

imposing price ceilings.

The Act which outlawed tying contracts was the:

Sherman Act.

Clayton Act.

Robinson-Patman Act.

Celler-Kefauver Act.

Various state governments have passed lemon laws to protect buyers of used cars as a result ofthe problem of:

A. moral hazard.

B. spillovers.

C. an injunction.

D. asymmetric information.

A.

are assumed to maximize the social good.

B.

tend to listen to small groups of people who contribute money to their political campaigns.

C.

manage resources to maximize efficiency.

D.

have a strong incentive to ensure that society's members equally benefit from a project.

Explanation / Answer

B , Option B is correct because private vested interests plays a very important role in this theory. D, Option D is correct, because natural monopolies are generally caused because of public utilities. D, Option D is correct, because price volatility is the biggest problem in thin markets, price ceilings will attract buyers and hence more seller will automatically come in, to gain opportunities. B, Option B is correct, The Clayton Act. D, Option D is correct, The Asymmetric Information.

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