Question

According to public choice theory, the main reason for some politicians' ability to build support for policies that generate more costs than benefits is thatA) the government always misleads the public with biased information.B) the public is always ignorant about the costs and benefits of any policy.C) the political process has flaws so that the public is always misinformed.D) rational ignorance is higher in the situation of concentrated benefits and diffuse costs.

Answer 1

Answer:

D) rational ignorance is higher in the situation of concentrated benefits and diffuse costs.

Explanation:

When public policies have clear benefits is easier for the politician to promote their implementation regardless of the related costs. Usually, the costs are difficult to grasp by the public because they are diffuse: affect in different level a wide variety of stakeholders; the cost is materialized in the long-term; the cost is exogenous to public preferences (environmental consequences in a population not worried about environmental issues)  

Answer 2

Answer: B

Explanation: B) the public is always ignorant about the costs and benefits of any policy. The public hardly research on some of the Costs and benefits of a scheme and net it off. They barely have that time. They are carried away by the fishy manifestos and the sugar coated tongue of the politicians.