Chapter 13: Problem 16
Explain why the federal government funds national defense.
Chapter 13: Problem 16
Explain why the federal government funds national defense.
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Get started for freeWhat can government do to encourage the development of new technology?
Will the demand for borrowing and investing in R\&D be higher or lower if there are no external benefits?
Name two public goods and explain why they are public goods.
When residents in a neighborhood tidy it and keep it neat, there are a number of positive spillovers: higher property values, less crime, happier residents. What types of government policies can encourage neighborhoods to clean up?
Education provides both private benefits to those who receive it and broader social benefits for the economy as a whole. Think about the types of policies a government can follow to address the issue of positive spillovers in technology and then suggest a parallel set of policies that governments could follow for addressing positive externalities in education.
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