When Government Failure Is Present

question 92

Multiple Choice

When government failure is present,

• A) market allocation will lead to an outcome consistent with idealized economic efficiency.
• B) the political process will lead to an outcome consistent with idealized economic efficiency.
• C) there is a conflict between what is best for individual decision-makers and getting the most value out of resources.
• D) political corruption will be widespread because this is the primary factor underlying government failure.