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What Are the Two Possible Causes of Market Failure

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What are the two possible causes of market failure?


Definitions:

Personal Reputation

Personal reputation refers to the common perception of an individual's character and qualities by the general public or a specific community.

Business Interests

Financial stakes or investments in commercial enterprises, reflecting the concerns or involvements a person or company has in the business sector.

Tort

A civil wrong that causes a claimant to suffer loss or harm, resulting in legal liability for the person who commits the tortious act.

Crime

An act or omission that is prohibited by law and can result in punishment upon conviction.

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