You have chosen the correct answer for this question. Option C is the best example of a distributive policy.
Distributive public policies are one of three kinds of policies. There are regulatory policies that are meant to keep order in society and to protect society from things that would be dangerous. Options A, B, and D would be examples of regulatory policies. There are redistributive policies that are mainly meant to create greater economic equality. Option E is the classic example of a redistributive policy.
That leaves the third kind of policy, distributive policies. These are policies that are meant largely to make sure that certain activities will be undertaken. Governments engage in these policies if there are activities that they want to see happen but which might not happen without government help. Farm subsidies are an example of distributive policy because they encourage people to farm, which is an activity that the government thinks is beneficial and which might not be done enough without subsidies.
So, you got the right answer!
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