Which of the following provides the most accurate explanation of what is meant by "government failure"?
A) The government engages in an activity such as the setting of prices that interferes with competitive markets.
B) The situation where the structure of incentives is such that government action will tend to result in the inefficient use of resources.
C) The presence of widespread voter fraud that alters the outcome of elections.
D) The undertaking of unethical and corrupt actions by some political officials.

Question

Quizplus · Accepted Answer

Government failure refers to situations where government intervention leads to inefficient resource allocation, often due to misaligned incentives or unintended consequences.

Which of the Following Provides the Most Accurate Explanation of What