There Is No Market Failure If

question 143

Multiple Choice

There is no market failure if

• A)the marginal private cost curve is upward sloping.
• B)the demand curve (for a good or service)is downward sloping.
• C)the demand curve lies about the marginal private cost curve.
• D)marginal private costs are greater than the external costs associated with a negative externality.
• E)the market provides the idea or socially optimal amount of a good.

---

Definitions:

50th Percentile

Also known as the median, it is the value below which 50% of the observations in a group of data fall.

N - 1

A formula used to calculate the sample variance or sample standard deviation, representing the sample size minus one.

Variance

A measure of the dispersion of a set of data points around their mean value, indicating how spread out the data are.

Measure of Variability

Statistical indices that describe the spread or dispersion within a set of numerical data, including range, variance, and standard deviation.