Markets _______ in the _______ of resources.
A) usually result; equal distribution
B) never fail; efficient allocation
C) sometimes result; inefficient allocation
D) can never be counted on; efficient

Question

Quizplus · Accepted Answer

Markets can sometimes result in an inefficient allocation of resources, especially if there are externalities or market power involved. While markets generally function well in allocating resources, there are cases where intervention may be necessary to ensure a socially optimal allocation. Therefore, option A and B are incorrect. Option D is also incorrect as markets are generally efficient, except in cases where there are market failures.

Markets _______ in the _______ of Resources

Markets _ in the _ of Resources