Evaluate the claim behind the ad campaign

Reference no: EM131190651

The commonwealth of Massachusetts recently ran an advertising campaign for the lottery which claimed "Even when you lose, you win." The gist of the advertisement was that lottery revenue was used for particularly good ends, such as education.

Suppose that lottery revenues are indeed earmarked for education. How would traditional economic theory evaluate the claim behind the ad campaign? How would an economist who believed in the flypaper effect evaluate it?

Reference no: EM131190651

Questions Cloud

Recommend the expected value of the company : Recommend the expected value of the company within one year, with and without expansion and justify whether the company's stockholders be better off with or without the expansion. Assess the expected value of the company's debt in one year, with an..

What is the price of an additional dollar of local spending : What is the price of an additional dollar of local spending in each case?- Which of the two methods do you think would lead to higher levels of local spending on roads?

Ow many electrons should be available in a 1-µf capacitor : We can detect whether one electron is being stored in the capacitor by observing the change of the capacitor voltage. Why can we not detect one electron being stored in a 1-μF capacitor? ( Hint: compute the capacitor voltage change while one elect..

Identify cultural values and ideals that art works reflect : Identify the cultural values and ideals that these art works reflect for each society. From this comparison, suggest a modern situation of artistic expression and the ways it reflects or counters prevailing cultural values.

Evaluate the claim behind the ad campaign : How would traditional economic theory evaluate the claim behind the ad campaign? How would an economist who believed in the flypaper effect evaluate it?

Californias school finance equalization policy : Why does California's school finance equalization policy have a high associated marginal tax price? Explain.

What was firm free cash flow : Last year Firm X had sales of $100,000, labor costs of $30,000, material costs of $30,000, and depreciation of $10,000. Assume that labor and material costs were paid in cash. The tax rate on its net income was 40%. Assume that the firm made no capit..

What does the tiebout model predict : What does the Tiebout model predict should happen to the similarity of residents within a community as the costs of moving fall?

Convertible securities can usually sold with interest rates : Convertible securities can usually be sold with interest rates? ________.

User Account

All Pages