📚 Learning Guide
Positive Externalities in Production
hard

How can government intervention effectively enhance positive externalities in the production of education and training programs?

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Learning Path
Learning Path

Question & Answer
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Choose the Best Answer

A

By providing tax incentives for private education institutions

B

By reducing funding for public educational programs

C

By limiting access to vocational training

D

By imposing fines on businesses that do not offer training programs

Understanding the Answer

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Answer

Government intervention can effectively enhance positive externalities in education and training programs by providing funding and support. When the government invests in education, it helps create a more skilled workforce, which benefits everyone, not just the students. For example, when more people receive training in technology, businesses can thrive because they have access to skilled workers, leading to economic growth. Additionally, the government can offer incentives for companies to train their employees, encouraging them to invest in their staff. This way, the community enjoys the positive effects of a better-educated population, such as lower unemployment rates and increased innovation.

Detailed Explanation

When the government gives tax breaks to private schools, it helps them grow. Other options are incorrect because Cutting funds for public education can hurt students; Limiting access to training makes it harder for people to learn skills.

Key Concepts

positive externalities
government intervention
education and training
Topic

Positive Externalities in Production

Difficulty

hard level question

Cognitive Level

understand

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