An Analysis of Market Failure and Government Failure Indicates

question 180

Multiple Choice

An analysis of market failure and government failure indicates

• A) government decision making is always preferable to using markets.
• B) market decision making is always preferable to public-sector action.
• C) government action is necessary whenever market failure occurs.
• D) both the market and the government may fail to meet conditions of economic efficiency; in each individual case, the choice of market or public-sector action requires careful evaluation.

---

Definitions:

Web Communities

Websites that allow people to congregate online and exchange views on topics of common interest.

Online Cooperative

refers to a digital platform where members collaborate online for mutual economic, social, or cultural benefits.

Common Interest

A shared enthusiasm or concern among individuals within a group, leading to collaborative efforts toward a unified goal.

Bot

A software application that performs automated tasks, often on the Internet, designed to simulate human activity.