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The government is considering two ways to help the needy: giving them cash or giving them free meals at soup kitchens. Which of the following
The government is considering two ways to help the needy: giving them cash or giving them free meals at soup kitchens. Which of the following arguments is based on the ndings of behavioral economics? 0 The government does not have complete information about how the needy will spend the cash, so free meals ensure they get the food they need. 0 Cash is better because individual consumers can maximize their utility and purchase what they need most. 0 People often abandon their long-term plans in favor of instant gratifications, such as indulging drug or alcohol habits. The government therefore provides the needy with free meals rather than cash
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