Market failure occurs when:
a. the stock markets tumble due to heavy selling
b. the market economy fails to allocate resources efficiently.
c. demand shows signs of slowing down.
d. a country cannot produce a particular good or service at a lower opportunity cost than other countries.
b
Economics
You might also like to view...
A situation in which a private cost diverges from a social cost is
A) internal costs. B) an externality. C) an internality. D) a transactions cost.
Economics
In a closed economy, if Y, C, and T remained the same, a decrease in G would
a. reduce private saving and public saving. b. increase private saving but not public saving. c. increase public saving but not private saving. d. increase neither private nor public saving.
Economics