Assume that there are two types of cost associated with decision making: (a) the time and effort

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Assume that there are two types of cost associated with decision making: (a) the time and effort involved trying to secure support from people and of having to iron out any problems they foresee; (b) the adverse effects on certain people of the decision itself. The relative size of these costs will depend on the nature of the decision itself and the system under which it is made. Which of the following decisions would be best made by (i) an individual, (ii) unanimous decision, (iii) simple majority of those involved (50 per cent or more), (iv) a ‘super majority’ (e.g. 70 or 75 per cent or more) of those involved, or (v) a certain minimum number of those involved (e.g. 30 per cent)?

(a) Whether a group of friends should go on holiday together.

(b) Whether taxes should be raised.

(c) What colour coat you should buy.

(d) Whether a certain person or people should be excluded from attending a club meeting.

(e) Which of three parties should form a government.

(f) Whether capital punishment should be reinstated.

In each case you should specify who is involved in the decision taking and whether you feel other people also ought to be involved.

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Related Book For  answer-question

Economics

ISBN: 978-1292187853

10th edition

Authors: John Sloman, Jon Guest, Dean Garratt

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