Answer to Question #80471 in Microeconomics for bryan

Question

Which one of the following statements is incorrect?
a) Central government forms part of general government.
b) Provincial government forms part of the public sector.
c) Local government forms part of general government.
d) Public corporations form part of general government

Answer 1

Incorrect statement is d) Public corporations form part of general government. That is because public corporations can’t influence on general government and form general government. By the reason of "corporation", that is, a joint-stock company, and the state owns 100% of shares (or a controlling shareholding). As result country rules this corporation.