Which of the Following Could Be Evidence of a Market

question 17

Multiple Choice

Which of the following could be evidence of a market failure?

• A)Resources in an economy are not fully utilized.
• B)The market price of a product is above the average cost of production.
• C)There are only a handful of firms competing against each other in an industry.
• D)Market prices do not reflect true production costs.

---

Definitions:

Master Complex Tasks

The ability to learn, understand, and proficiently execute tasks that are intricate and multifaceted.

Equity Theory

A concept in social psychology that suggests fairness in the distribution of resources and efforts affects motivation and satisfaction.

Perceive Inequity

The subjective feeling that one has been treated unfairly compared to others.

Change Work Inputs

Refers to modifications in the resources, processes, or materials used in a work environment to improve efficiency or outcomes.