Question

5. Critical analysis Q5 Sharon is giving a speech and says the following: wThe economic way of thinking stresses that good intentions lead to sound policy." How would you evaluate this statement? Check all that apply The statement is false because a policy motivated by good intentions may have unintended negative consequences. The statement is true because any policy that is backed by good intentions will always lead to beneficial outcomes for all involved The statement is true because only policies that have no unintended consequences are enacted by the government The statement is false because sound economic reasoning is required to anticipate unintended consequences of policies that are motivated by good intentions.

Answer 1

The economic way of thinking stresses that good intentions leads to sound policy.

The above statement is false.

Because policy motivated by good intentions may have unintended negative consequences.

And because sound economic reasoning is required to anticipate unintended consequences of policies that are motivated by good intentions.

Answers: option (a) and option (d).