Questions
MCD2090 Macroeconomics - Trimester 2 - 2025
True/False
Countries without enforced property rights will have an increase in domestic investments and foreign investments.
Options
A.True
B.False
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Verified Answer
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Step-by-Step Analysis
Consider the claim about property rights and investment. The core idea is that secure property rights reduce risk and provide clear rules for ownership and returns, which in turn encourages investment.
Option 1: True. This option asserts that countries without enforced property rights will see an increase in both d......Login to view full explanationLog in for full answers
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Similar Questions
Consider a public resource that is required for the production process of a firm, but its use destroys it. The profit of the firm from the usage of this resource will be 200$, but it also decreases the utility of the public by 100$. The government considers two options over the ownership rights of this resource in order to maximize welfare.
Why might some governments provide limited or no property rights to their citizens?
Why might some governments provide limited or no property rights to their citizens?
Match each of the left-hand examples to a dimension of property rights.
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