Which of the following statements about the way markets allocate resources is most accurate from society's perspective?
A)The market always allocates resources in the best way.
B)The market may not always allocate resources in a way that is in society's best interest.
C)Resource allocation by markets may not be perfect,but it is always better than government allocation of resources.
D)Markets always fail to allocate resources properly,so we must rely on the government to determine the proper use of our resources.

Question

Quizplus · Accepted Answer

While markets can efficiently allocate resources in some cases, they may not always reflect the best interests of society as a whole. Externalities and market failures can lead to inefficient outcomes, and government intervention may be necessary to correct them. While government allocation of resources has its own set of problems, it can be an important complement to market allocation in achieving societal goals.

Which of the Following Statements About the Way Markets Allocate