We say a market is "missing" when:
A) there is no place for potential buyers and sellers to exchange a particular good or service.
B) the quantity being exchanged is at or close to zero.
C) there is an absence of a well-functioning market, and total surplus is lower than it could be.
D) All of these are true.

Question

Quizplus · Accepted Answer

A missing market refers to a situation where there is no place for potential buyers and sellers to exchange a particular good or service. As a result, the quantity of the good or service being exchanged is at or close to zero, and there is an absence of a well-functioning market. In this situation, total surplus is lower than it could be. Thus, all of the given options are true.

We Say a Market Is "Missing" When