Recall the Application. In the absence of collective bargaining agreements regarding NBA s
Recall the Application. In the absence of collective bargaining agreements regarding NBA salaries, salaries based on the market equilibrium would tend to benefit ________ the most, whereas with collective bargaining, salaries based on the median voter rule would generate gains for ________.
A) a small number of superstar players; all players with salaries below the median salary
B) all players; all players with salaries above the median salary
C) the lowest salaried players; a small number of superstar players
D) players with salaries closest to the median salary; all players
47) Recall the Application. In the 1997 collective bargaining agreement for NBA players, the largest salary gains went to:
A) all players equally.
B) those players with salaries farthest below the median salary.
C) those players with salaries farthest above the median salary.
D) those players with salaries closest to the median salary.
48) Public choice economics is the study of how governments operate.
49) The median voter rule says that the government will make choices that reflect the preferences of the voters whose preferences are held by at least 51% of the voters.
50) The special-interest theory of government predicts that governments have a strong incentive to pursue policies that are in the public interest.
51) The self-interest theory of government explains one motivation for limitations on taxes and government spending.
52) What is public choice?
53) What is voting with your feet?
54) In many elections the Republican and Democratic candidates share remarkably similar views—so similar that independent candidates (who rarely win the elections) often enter elections to represent opposing views. How can the similarity between the Republicans and Democrats be explained?
55) It is common in most towns that major department stores are locating next to each other.