Which of These Is an Example of the FAILURE of the Market

question 3

Multiple Choice

Which of these is an example of the FAILURE of the market to achieve economic efficiency?

• A) Firms and employees successfully achieving all mutually beneficial transactions.
• B) Alpha Industries is willing to pay $55,000 per year to hire a computer programmer. Dean, a qualified computer programmer, would gladly give up his job as a waiter for a computer programming job paying at least $45,000, but is unaware of Alpha's opening.
• C) Laura refuses to quit smoking even though Marlene offers her $1 per hour to stop.
• D) Ace Engineering is willing to pay Diane $11 per hour, but Diane is willing to work for $10 per hour, so Ace hires her for only $10 per hour.

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Definitions:

Unemployed Category

A classification for individuals who are able and willing to work but are unable to find employment.

Unemployment Rate

The rate of unemployment among those actively seeking work within the labor force.

Labor Data for Tajnia

Statistical information related to the workforce, employment trends, and economic conditions within Tajnia.

Adults Employed

The portion of the adult population that is currently employed and working.