Multiple Choice
When comparing a cash subsidy and a voucher worth the same dollar amount, but only good for the purchase of a single good:
A) a consumer can never be better off with a cash subsidy than with a voucher.
B) a consumer can never be better off with a voucher than with a cash subsidy.
C) a cash subsidy will always make the consumer better off than the consumer would be with a voucher.
D) a voucher will always make the consumer better off than the consumer would be with a cash subsidy.
Correct Answer:

Verified
Correct Answer:
Verified
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