Market Failures

question 150

Multiple Choice

Market failures

• A) are only a concern when they result in prices that are too high.
• B) apply exclusively to situations where markets do not produce any of an economically desirable good.
• C) result in overproduction or underproduction of a good.
• D) result from government interference in markets.

---

Definitions:

Hair Follicles

Microscopic skin structures from which hair grows, providing anchorage and nourishment to the hair.

Dermis

The dermis is the thick layer of living tissue below the epidermis that forms the true skin, containing blood capillaries, nerve endings, sweat glands, hair follicles, and other structures.

Outermost Layer

Refers to the surface or external layer of an object or entity.

Epidermis

The epidermis is the outermost layer of the skin, providing a waterproof barrier and creating our skin tone.