Economic analysis indicates that
A) there is government failure, but not market failure.
B) there is market failure, but not government failure.
C) there is both government failure and market failure.
D) there is neither government failure nor market failure.

Question

Quizplus · Accepted Answer

Economic analysis recognizes that both market failures (such as externalities, public goods, and monopolies) and government failures (such as inefficiencies and unintended consequences of policies) can occur.

Economic Analysis Indicates That