The primary advantage of Lindahl pricing is _____.
a. that it is easy to calculate
b. that at the price charged, every individual prefers a unique efficient level of output, increasing diversity in how the public good is provided
c. that is necessary for economic efficiency
d. that at the price charged, every individual prefers the same efficient level of output, making it more likely that the politically agreed upon output level is identical to the efficient output level
Question 2
Comparing individuals taxes paid in one year with their incomes paid that year is likely to _____.
a. overstate the progressive nature of the tax system
b. overstate the regressive nature of the tax system
c. understate the progressive nature of the tax system
d. overstate the regressive nature of the tax system
Primary Groups: Families
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