When Markets Fail, Which of the Following Is True

question 176

Multiple Choice

When markets fail, which of the following is true?

• A)Government intervention can always improve outcomes.
• B)Government intervention can potentially improve outcomes.
• C)Government intervention can never improve outcomes.
• D)Markets do not fail.

---

Definitions:

Assignor

The party in a contractual agreement who transfers rights or obligations to another, known as the assignee.

Assignee

An individual or entity to whom rights or interests have been transferred by another party, known as the assignor.

Consideration

An essential element in contract law, referring to something of value exchanged between parties as part of entering into a contract.

Beneficiary Modification

Changes made to the designated recipient of benefits or entitlements under a legal instrument such as a will or insurance policy.