Which of the Following Statements Is Correct

question 133

Multiple Choice

Which of the following statements is correct?

• A) The presence of property rights sometimes gives rise to market failure.
• B) Property rights are only relevant in markets where they are well-defined.
• C) The absence of property rights sometimes gives rise to market failure.
• D) In the context of public goods, efficiency in most markets can be improved by the elimination of property rights.
• E) Government regulation of private behavior, in response to market failure, rarely can improve social well-being.

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Definitions:

Somatoform Disorder

A mental disorder characterized by physical symptoms that have no identifiable physical cause, often thought to be linked to psychological factors.

PTSD

Post-Traumatic Stress Disorder, a psychiatric disorder that may occur in people who have experienced or witnessed a traumatic event such as a natural disaster, a serious accident, a terrorist act, war/combat, or rape or who have been threatened with death, sexual violence, or serious injury.

Hypochondria

An excessive preoccupation with the fear of having a serious illness, despite medical reassurance to the contrary.

Claustrophobia

An anxiety disorder characterized by an irrational fear of being in enclosed or narrow spaces.