When the full cost of producing a good or service is not reflected in the resultant curve this is referred to as what type of failure?
A)Supply side
B)Demand side
C)Market side
D)Demand-supply side

Question

Quizplus · Accepted Answer

This is an example of market failure due to incomplete information or externalities, where the cost of producing a good or service is not fully accounted for in the market price. This is referred to as a supply side failure as the suppliers are not taking into account the full costs of production.

When the Full Cost of Producing a Good or Service