Anonymous asked in Social ScienceEconomics · 2 months ago

How might an ignorant public make economic conditions worse?

5 Answers

  • Ray
    Lv 6
    1 month ago

    Look at Detroit back in the day. 

    The public demanded unions, a hike on minimum wage, higher taxes for corporations to pay for government handouts, etc. 

    Their economy relied on being the world center for automobile manufacturing, these policies [demanded by the public] hiked production cost, and with increased competition from abroad, US auto manufacturers would not be able to compete in the automobile market. The result: the manufacturers left. Detroit bit the hand that fed them, the city went into ruin. With no tax revenue, the city went bankrupt  

  • By voting for capitalists.

  • Oiy
    Lv 6
    2 months ago

    Because they are not rational anymore. They cannot maximize the utility and profits.

  • 2 months ago

    Don't be so anxious!

    If public is ignorant; Government and businesses will take care of it!!

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  • Sandy
    Lv 7
    2 months ago

    by demanding $15/hr for minimum wage when the market doesn't support it.

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