All of these will lead to market failure EXCEPT if the good

Question

Quizplus · Accepted Answer

Market failure typically occurs when the allocation of goods and services by a free market is not efficient. Private goods do not inherently lead to market failure because they are excludable and rival in consumption, meaning they can be efficiently allocated through the market. Public goods, externalities, and common property resources, on the other hand, can lead to market failures due to their non-excludable or non-rival nature, or because costs or benefits are not fully captured by the market.

All of These Will Lead to Market Failure EXCEPT If