Situations in Which the Assumption of Efficient,competitive Markets Fails to Hold

question 4

Multiple Choice

Situations in which the assumption of efficient,competitive markets fails to hold are called:

• A) market failures.
• B) inelastic-response markets.
• C) missing markets.
• D) market interventions.

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Definitions:

Arraignment

An arraignment is a court proceeding where the defendant is formally charged and asked to respond to the charges by entering a plea.

Plea

A formal statement made by a defendant in court regarding their guilt or innocence concerning the charges against them.

Charges

Fees or prices asked for goods and services, or sums levied as penalties for breaking the law or conditions of a contract.

Recidivism

The tendency of a convicted criminal to reoffend.