Consider the following assertion: We all benefit by having physicians available in case we need them. Therefore, the government should subsidize medical education.
Critique this justification of government subsidies based on an externalities argument.© BrainMass Inc. brainmass.com October 9, 2019, 5:52 pm ad1c9bdddf
It has long been a common claim that society benefits from the education of its populace.
A subsidy is defined as financial assistance granted by a government or philanthropic foundation to a person or association for the purpose of promoting an enterprise considered beneficial to the public welfare. Because the motivations and impacts associated with government subsidies differ considerably from those associated with private foundations, the following discussion will be confined to subsidies of a governmental nature. Subsidies may be granted to keep prices low, to maintain incomes, or to preserve employment. Today, medical and educational institutions are among ...
Economic arguments for using government subsidies' broad categories are discussed in 371 words in an attached Word document.