One Type of Market Failure Occurs When Markets Cannot Provide

question 34

Essay

One type of market failure occurs when markets cannot provide for the public good. Explain the two criteria that determine whether a good is private or public.

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Definitions:

Civil Citizenship

Refers to the status conferred upon individuals by a state, entitling them to rights and responsibilities within that state's legal framework.

Political Citizenship

Refers to the status and rights of individuals within a political entity, including participation in political processes and the right to vote.

Social Citizenship

The rights, duties, and entitlements associated with being a member of a society, allowing individuals access to social services, healthcare, and education, fostering a sense of belonging and participation.

Routine Collective Actions

The regular, patterned, and unexceptional activities performed by groups of individuals that reinforce social norms and cohesion.