The government's ability to coerce can enhance economic efficiency by

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The government's ability to coerce can correct market failures, which occur when the market does not allocate resources efficiently. For example, the government may use regulation or taxation to correct negative externalities or provide public goods that the market will not produce on its own. This can enhance economic efficiency and improve overall welfare. The other choices are not necessarily associated with enhancing economic efficiency through government coercion.

The Government's Ability to Coerce Can Enhance Economic Efficiency by