Markets Fail to Allocate Resources Efficiently When

question 37

Multiple Choice

Markets fail to allocate resources efficiently when

• A)demanders and suppliers cannot agree on a price.
• B)goods are rival in consumption and excludable.
• C)property rights are not well established.
• D)too many buyers and sellers exist in the same market.

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Definitions:

Classification Category

A level or rank in a systematic organization used to group entities with common characteristics, such as in biological taxonomy.

Species

The basic unit of biological classification, defined as a group of organisms capable of interbreeding and producing fertile offspring.

Extinction

The permanent loss of all members of a species from the earth, leading to a decrease in biodiversity.

Century

A period of one hundred years.