Question 1

Why do corrupt politicians often make huge payments to media?

Accepted Answer

Exercising control over politicians relies on information; it is impossible to control and regulate any kind of behavior unless we are informed about it. In day-to-day politics, it is almost impossible for most voters to know the exact actions that politicians take, and it is often difficult for them to know whether a politician is acting honestly or is knee-deep in corruption. One of the many roles of free media is to act as a conduit for this type of information. Independent journalists report on what politicians do and sometimes find evidence of corrupt behavior. Such behavior then acts as the basis of the voting behavior of the citizens in future elections. Therefore, politicians often pay huge sums to media to influence the information presented.

Question 2

Refer to the table above. Which of the following is true?

Accepted Answer

A)  The society takes a unanimous decision to employ 6 security guards. 
B)  The cumulative preference in this situation does not guarantee transitivity . 
C)  The voters prefer 2 guards over 4 guards, when asked to choose between employing either 2 or 4 guards. 
D)  The voters prefer 4 guards over 6 guards, when asked to choose between employing either 4 or 6 guards. 
A)  The society takes a unanimous decision to employ 6 security guards. 
B)  The cumulative preference in this situation does not guarantee transitivity . 
C)  The voters prefer 2 guards over 4 guards, when asked to choose between employing either 2 or 4 guards. 
D)  The voters prefer 4 guards over 6 guards, when asked to choose between employing either 4 or 6 guards. B

Question 3

In Carribia, public officials are elected by the citizens, and are empowered to act on behalf of the citizens. Carribia's political system is an example of a(n) ________.

Accepted Answer

A)  representative democracy 
B)  dictatorship 
C)  monarchy 
D)  totalitarianism 
A)  representative democracy 
B)  dictatorship 
C)  monarchy 
D)  totalitarianism A

Question 4

Which of the following is true of a monarchy?

Accepted Answer

A)  The government can be voted out of office. 
B)  A military coup or group forms the government. 
C)  All decisions about governance are taken by the citizens. 
D)  Those in power are not replaced through elections. 
A)  The government can be voted out of office. 
B)  A military coup or group forms the government. 
C)  All decisions about governance are taken by the citizens. 
D)  Those in power are not replaced through elections.

Question 5

What are prediction markets?

Accepted Answer

In prediction markets, people, often non

Question 6

Which of the following three conditions should a reasonable voting scheme satisfy according to Arrow?

Accepted Answer

A)  Unanimity, transitivity, and stochasticity 
B)  Unanimity, transitivity, and mutual exclusiveness 
C)  Unanimity, stochasticity, and mutual interdependence 
D)  Unanimity, transitivity, and independence of irrelevant alternatives 
A)  Unanimity, transitivity, and stochasticity 
B)  Unanimity, transitivity, and mutual exclusiveness 
C)  Unanimity, stochasticity, and mutual interdependence 
D)  Unanimity, transitivity, and independence of irrelevant alternatives

Question 7

Differentiate between a democracy and a monarchy.

Accepted Answer

Representative democracy is the politica

Question 8

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality.
  
-Refer to the table above. In this case________, is the ________.

Accepted Answer

A)  Catherine; free rider. 
B)  Joseph; median voter 
C)  Bob; median voter 
D)  Catherine; free rider 
A)  Catherine; free rider. 
B)  Joseph; median voter 
C)  Bob; median voter 
D)  Catherine; free rider

Question 9

Explain why democracy is considered to be desirable although it is questionable whether democracies actually work.

Accepted Answer

Democracies are considered to be desirab

Question 10

Which of the following is true of a dictatorship?

Accepted Answer

A)  The key executives of the government are elected. 
B)  A military coup or group forms the government. 
C)  All decisions about governance are taken by the citizens. 
D)  Those in power are not replaced through elections. 
A)  The key executives of the government are elected. 
B)  A military coup or group forms the government. 
C)  All decisions about governance are taken by the citizens. 
D)  Those in power are not replaced through elections.

Question 11

There are three houses on a particular street. The table below shows the preferences of the three households regarding the number of street lights they want to be installed.
  
-Refer to the table above. Which of the following statements is true?

Accepted Answer

A)  Household A is the median voter. 
B)  Household B is the median voter. 
C)  Household C is the median voter. 
D)  Households A and B have the same political bliss point. 
A)  Household A is the median voter. 
B)  Household B is the median voter. 
C)  Household C is the median voter. 
D)  Households A and B have the same political bliss point.

Question 12

Which of the following advantages of democracy was first noted by Marquis de Condorcet?

Accepted Answer

A)  A group of individuals is more likely to make better decisions than a single individual. 
B)  There is free access to information in a democracy. 
C)  Every individual in a democracy has a voting right. 
D)  Governments in democracies are always stable. 
A)  A group of individuals is more likely to make better decisions than a single individual. 
B)  There is free access to information in a democracy. 
C)  Every individual in a democracy has a voting right. 
D)  Governments in democracies are always stable.

Question 13

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality.
  
-Refer to the table above. Which of the following statements is true if the voters are asked to give their preferences between 2 and 4 security guards?

Accepted Answer

A)  The collective choice of Joseph, Catherine, and Bob between 2 and 4 security guards would be employing 2 security guards. 
B)  Catherine prefers employing 2 security guards, if given a choice to employ either 2 or 4 guards. 
C)  The collective choice of Joseph, Catherine, and Bob between 2 and 4 security guards would be employing 4 security guards. 
D)  Bob prefers employing 2 security guards, if given a choice to employ either 2 or 4 guards. 
A)  The collective choice of Joseph, Catherine, and Bob between 2 and 4 security guards would be employing 2 security guards. 
B)  Catherine prefers employing 2 security guards, if given a choice to employ either 2 or 4 guards. 
C)  The collective choice of Joseph, Catherine, and Bob between 2 and 4 security guards would be employing 4 security guards. 
D)  Bob prefers employing 2 security guards, if given a choice to employ either 2 or 4 guards.

Question 14

Mary, June, and Kay are three siblings who have been asked by their parents to decide where they would like to go for their vacation. They have been given three options- a beach that is 100 miles away, a waterfall that is 300 miles away and an old city of historic importance which is 120 miles away. The table below lists the preferences of the three siblings.
  
-Refer to the table above. If there is a vote between the beach and the waterfall,________.

Accepted Answer

A)  the waterfall will get a majority of votes 
B)  the beach will get a majority of votes 
C)  Mary will vote in favor of the waterfall 
D)  June will vote in favor of the beach 
A)  the waterfall will get a majority of votes 
B)  the beach will get a majority of votes 
C)  Mary will vote in favor of the waterfall 
D)  June will vote in favor of the beach

Question 15

There are three houses on a particular street. The table below shows the preferences of the three households regarding the number of street lights they want to be installed.
  
-Refer to the table above. According to the Median Voter Theorem, how many street lights will be installed?

Accepted Answer

A)  0 
B)  1 
C)  2 
D)  3 
A)  0 
B)  1 
C)  2 
D)  3

Question 16

Explain why paying politicians for their performance can be disadvantageous.

Accepted Answer

Paying politicians for their performance

Question 17

What are the pros and cons of paternalistic actions taken by governments?

Accepted Answer

There are some areas where paternalism m

Question 18

Three students share an apartment. They are planning to buy a common television set and have decided to choose one among three different models through voting. Model A is the most expensive, Model B is neither too expensive nor too cheap, and Model C is the least expensive. The table below shows their respective preferences for each model.
   
-Refer to the table above. If there is vote between models A and B, ________.

Accepted Answer

A)  Model A will get a majority of votes 
B)  Model B will get a majority of votes 
C)  Model A will get zero votes 
D)  a collective decision cannot be reached 
A)  Model A will get a majority of votes 
B)  Model B will get a majority of votes 
C)  Model A will get zero votes 
D)  a collective decision cannot be reached

Question 19

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality.
  
-Refer to the table above. Which of the following statements is true if the voters are asked to give their preferences between 4 and 6 security guards?

Accepted Answer

A)  Bob prefers employing 4 security guards, if given a choice to employ either 4 or 6 guards. 
B)  The collective choice of Joseph, Catherine, and Bob between 4 and 6 security guards would be employing 4 security guards. 
C)  Catherine prefers employing 6 security guards, if given a choice to employ either 4 or 6 guards. 
D)  The collective choice of Joseph, Catherine, and Bob between 4 and 6 security guards would be employing 6 security guards. 
A)  Bob prefers employing 4 security guards, if given a choice to employ either 4 or 6 guards. 
B)  The collective choice of Joseph, Catherine, and Bob between 4 and 6 security guards would be employing 4 security guards. 
C)  Catherine prefers employing 6 security guards, if given a choice to employ either 4 or 6 guards. 
D)  The collective choice of Joseph, Catherine, and Bob between 4 and 6 security guards would be employing 6 security guards.

Question 20

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality.
  
-Refer to the table above. This is an example of the ________.

Accepted Answer

A)  Condorcet Paradox 
B)  Dutch disease 
C)  paradox of thrift 
D)  prisoners' dilemma 
A)  Condorcet Paradox 
B)  Dutch disease 
C)  paradox of thrift 
D)  prisoners' dilemma

Why do corrupt politicians often make huge payments to media?

Refer to the table above. Which of the following is true?

In Carribia, public officials are elected by the citizens, and are empowered to act on behalf of the citizens. Carribia's political system is an example of a(n) ________.

Which of the following is true of a monarchy?

What are prediction markets?

Which of the following three conditions should a reasonable voting scheme satisfy according to Arrow?

Differentiate between a democracy and a monarchy.

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality. -Refer to the table above. In this case, is the .

Explain why democracy is considered to be desirable although it is questionable whether democracies actually work.

Which of the following is true of a dictatorship?

There are three houses on a particular street. The table below shows the preferences of the three households regarding the number of street lights they want to be installed. -Refer to the table above. Which of the following statements is true?

Which of the following advantages of democracy was first noted by Marquis de Condorcet?

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality. -Refer to the table above. Which of the following statements is true if the voters are asked to give their preferences between 2 and 4 security guards?

There are three houses on a particular street. The table below shows the preferences of the three households regarding the number of street lights they want to be installed. -Refer to the table above. According to the Median Voter Theorem, how many street lights will be installed?

Explain why paying politicians for their performance can be disadvantageous.

What are the pros and cons of paternalistic actions taken by governments?

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality. -Refer to the table above. Which of the following statements is true if the voters are asked to give their preferences between 4 and 6 security guards?

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality. -Refer to the table above. This is an example of the ________.

Economic Methods and Optimization: Doing the Best You Can

Demand, Supply, and Equilibrium

Consumers and Incentives,the Wealth of Nations: Defining and Measuring Macroeconomic Aggregates

Sellers and Incentives,aggregate Incomes

Perfect Competition and the Invisible Hand, Economic Growth

Trade and Why Isnt the Whole World Developed

Externalities and Public Goods, Employment and Unemployment

The Government in the Economy: Taxation and Regulation, Credit Markets

Markets for Factors of Production and the Monetary System

Monopoly and Short-Run Fluctuations

Game Theory and Strategic Play

Oligopoly and Monopolistic Competition

Trade-Offs Involving Time and Risk and Open Economy Macroeconomics

Social Economics and Auctions and Bargaining

Web: Financial Decision Making

Web: Economics of Life, Health, and the Environment

Filters

Exam 17: Web: Political Economy

Why do corrupt politicians often make huge payments to media?

Refer to the table above. Which of the following is true?

In Carribia, public officials are elected by the citizens, and are empowered to act on behalf of the citizens. Carribia's political system is an example of a(n) ________.

Which of the following is true of a monarchy?

What are prediction markets?

Which of the following three conditions should a reasonable voting scheme satisfy according to Arrow?

Differentiate between a democracy and a monarchy.

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality. -Refer to the table above. In this case________, is the ________.

Explain why democracy is considered to be desirable although it is questionable whether democracies actually work.

Which of the following is true of a dictatorship?

There are three houses on a particular street. The table below shows the preferences of the three households regarding the number of street lights they want to be installed. -Refer to the table above. Which of the following statements is true?

Which of the following advantages of democracy was first noted by Marquis de Condorcet?

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality. -Refer to the table above. Which of the following statements is true if the voters are asked to give their preferences between 2 and 4 security guards?

There are three houses on a particular street. The table below shows the preferences of the three households regarding the number of street lights they want to be installed. -Refer to the table above. According to the Median Voter Theorem, how many street lights will be installed?

Explain why paying politicians for their performance can be disadvantageous.

What are the pros and cons of paternalistic actions taken by governments?

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality. -Refer to the table above. Which of the following statements is true if the voters are asked to give their preferences between 4 and 6 security guards?

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality. -Refer to the table above. This is an example of the ________.

Economic Methods and Optimization: Doing the Best You Can

Demand, Supply, and Equilibrium

Consumers and Incentives,the Wealth of Nations: Defining and Measuring Macroeconomic Aggregates

Sellers and Incentives,aggregate Incomes

Perfect Competition and the Invisible Hand, Economic Growth

Trade and Why Isnt the Whole World Developed

Externalities and Public Goods, Employment and Unemployment

The Government in the Economy: Taxation and Regulation, Credit Markets

Markets for Factors of Production and the Monetary System

Monopoly and Short-Run Fluctuations

Game Theory and Strategic Play

Oligopoly and Monopolistic Competition

Trade-Offs Involving Time and Risk and Open Economy Macroeconomics

Social Economics and Auctions and Bargaining

Web: Financial Decision Making

Web: Economics of Life, Health, and the Environment

Filters

The table below shows the preferences of three neighbors regarding the number of security guards they need to guard their locality. -Refer to the table above. In this case, is the .