Question

In: Economics

Provide an example of unintended consequence emergency services' has on the economy. What could be a...

Provide an example of unintended consequence emergency services' has on the economy. What could be a solution?

Solutions

Expert Solution

Unintended consequences

The unintended consequences are the results which happens for not a purpose. So basically, it is that sort of action which we intend to do to get some particular result but something else happens and there is a different outcome. There are three types of unintended consequences. They are:

  1. Unexpected positive benefit
  2. Unexpected negative detriment
  3. Perverse effect

Example of unexpected positive benefit

A bill was passed after the world war 2 by the president Roosevelt named GI bill. According to this bill all the veterans were guaranteed $20 per week in unemployment and two small provisions like free college education and low interest mortgage loans. President thought that most of the veterans would not opt for the smaller provisions but he was wrong. Millions of veterans benefited themselves from this bill and got themselves free college education as well as new homes in their low interest lands. This is how the middle class of America got the advantage post war.


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