Government intervention is one possible solution for market failure. What is one possible reason why a government-controlled used car market may not provide an efficient outcome? SELECT THE CORRECT ANSWER a. Consumers do not buy products from government-controlled markets. b. There is no remedy for market failure in this market. c. The government does not have the resources to control the used car market. d. Government actors may have their own incentives that might not align with market efficiency.

Q: There are never unintended consequences of government intervention to address market failures. true…

A: In the mentioned question we have been asked whether thee are consequences of government…

Q: You should research evidence of market failure and government intervention in the assigned country.…

A: Market failure is the situation when there is an insufficient supply of a good or service as…

Q: What is the difference between government regulation and government intervention in the market?

A: Market: In economics, the word market refers to the physical or the virtual place where sell and…

Q: Economics The free-rider problem associated with a good refers to the _____ cost of exclusion. In…

A: Free rider problem refers to the economic problem where it is difficult to exclude an individual…

Q: Explain how the characteristics of a public good lend itself to having free-rider. (please solve…

A: Public goods are those goods that are non-excludable in nature and non-rival in consumption.

Q: Is market failure either necessary or sufficient for government intervention

A: Market failure refers to a situation when the allocation of goods or services by the forces of free…

Q: A mother and her three grown-up children lived together in a house. One of the sons did some…

A: In an economy, most of the agreement between the parties are considered as legal and enforceable if…

Q: The National Flood Insurance Program (NFIP) provides flood insurance for homeowners and small…

A: Moral hazard: - moral hazard is the situation in which a person or an institution increases exposure…

Q: Much of production and distribution involves the creation or the handling of things. a. . Is this a…

A: Production is a method of conversion of raw materials into finished and final good. Distribution is…

Q: In general, what are some of the tactics the government uses to correct market failure? List 3 and…

A: Since you have asked multiple questions, we will answer only the first one for you. If you want the…

Q: Public good is a good or service that can be consumed simultaneously by everyone and from which no…

A: A product or service that benefits everyone in a society is referred to as a "public good." Public…

Q: How does the problem of limited and bundled choice in the public sector relate to economic…

A: Limited and bundled choice in the public sector leads to a reduction in economic efficiency. The…

Q: Radio (at least terrestrial radio) can be considered a public good. How can such a radio station…

A: Goods can be divided into private goods, public goods, common goods, and club goods. The…

Q: Should governments subsidize recycling programs if they are run at an economic loss? What types of…

A: "Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Assuming the government pays higher cost of production by paying wages that are higher than the…

A: As the government pays higher cost of production by paying wages higher than the market wage rate or…

Q: Suppose a political candidate criticizes a government pollution permit policy that she says lets…

A: Answer: Correct option: (2) A free market in tradable pollution permits is typically more efficient…

Q: Consumers that take advantage of a public good without having to pay for it are known as A Tax…

A: please find the answer below.

Q: There are never unintended consequences of government intervention to address market failures. True…

A: In a  free market, price is determined by pure market forces of demand and supply. Equilibrium price…

Q: Define public good?

A: In the field of economics, the goods are divided into categories on the basis of whether they are…

Q: . Exhibit 17-8 represents the consumer market for higher education. Exhibit 17-8 dollars per year…

A: We have the following information-

Q: Roommates D, E and F can buy paintings at $30 each for their dorms. Marginal benefits are MB of D =…

A: Disclaimer :- as you posted multipart questions we are supposed to solve only the first 3 questions…

Q: Evaluate the arguments for government intervention in the markets.

A: Government interventions refer to the interference of the government in the market. This is…

Q: Which of the following is NOT an example of government intervention in the market? a. Corporate…

A: When markets allocate resources inefficiently, governments intervene in the market. Resources are…

Q: Economics Present a model of public good provision. What is the Pareto efficient quantity of the…

A: Present a model of Public Good Provision Goods that are perfectly non-rival in consumption and…

Q: Knowledge creates positive externality; therefore, governments should intervene in the education…

A: Positive externality occurs when the consumption or production of a good causes a benefit to a third…

Q: Government intervention is one possible solution for market failure. What is one possible reason why…

A: Market failure and the role of government intervention: Market failure refers to the market outcomes…

Q: Government intervention is required in the case of a public good because everyone can use the good…

A: A public good is a product or service that is available to all members of a society, according to…

Q: The expansion of health care coverage to include more uninsured persons creates both external costs…

A: Answer - Part 1  Answer - The cost and Benefit analysis :-  Cost :- The privatization of health care…

Q: What do you see as the biggest flaw in using benefit-cost analysis to guide public policy?

A: Companies employ a cost-benefit analysis to figure out which decisions to make and which to avoid.…

Q: The government can force you to sell your personal residence to them for fair market value…

A: Answer - The law of eminent domain comes Under the "Taking clause " of the fifth amendment  .  which…

Q: Externalities can be ________ by collective (i.e.) ________ action. a. enhanced // market b.…

A: Governments and establishments regularly make moves to disguise externalities, in this way…

Q: Radio stations, tornado sirens, light houses, and street lights are all public goods in that all are…

A: Public goods are defined by two characteristics: Non Excludable i.e. it is costly or impossible to…

Q: Why does government intervention become necessary in the situation of market failure?

A: Market failure is an economic situation wherein the goods and services in an economy cannot be…

Q: Mankiw Chapter 11 Question 8 The federal gov't tests the safety of car models and provides the test…

A: Public good refers to those goods that are non rivalry and non excludable in nature.

Q: Explain the measures used by the government to correct each of the following sources of market…

A: Market Failure refers to the inefficiencies in the distributions of goods and services in the…

Q: 6. Charlie loves watching Downton Abbey on his local public TV station, but he never sends any money…

A: Given Charlie loves watching Downtown Abbey on his local public TV station, but he never send any…

Q: When economists look for some explanation for government provision, we want to find some kind of…

A: The economics as a study is based upon the idea that the resources which are present with the…

Q: What is a market-failure rationale for the government investing in education and training programs?…

A: Governments use fiscal policy to increase employment by increasing the aggregate demand and the…

Q: why does the government provide tornado sirens, street lights, and lighthouses but not radio…

A: The radio stations, tornado sirens, street lights, and lighthouses are having features of no-rival…

Q: Which of the following would tend to make it challenging for governments to provide the correct…

A: Tax is the amount of money that government imposes on the commodity or income of an individual.

Q: Describe the 4 causes of market failure. Why is it safe to assume that the national defense will…

A: When markets are not able to attain an efficient outcome, the situation is called market failure.…