ECON545 Week 7 Discussion 1

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The Public Sector (graded)

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The Public Sector (graded)

What is the appropriate balance between private and public (i.e., government) activity?Think of a case where the government has intervened (or it was suggested that government intervene)in a previously private market (e.g. Chrysler, tariffs on Japanese luxury cars, the airline industry, etc).What otherexamples can you think of? Using a marginal benefit/marginal cost analysis, support or argue against the intervention.

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neel
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