Which of the following is not true of Lindahl prices for collective consumption goods?
a. Lindahl pricing might be useful in achieving political agreement on the proper amount of the public good to be produced.
b. Lindahl prices are set so the marginal benefit they receive from the public good is equal to the marginal cost.
c. Lindahl prices are difficult to calculate in practice.
d. Lindahl prices are necessary for economic efficiency.
Question 2
Considering all taxes collected at all levels, taxation in the United States is _____ when looked at in terms of lifetime income.
a. proportional
b. slightly progressive
c. slightly regressive
d. n-shaped
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