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- Subject
- Marketeconomics-mcqs › market
- Published
- 31 May 2019
- Last updated
- 28 May 2026
Explanation
Market failure can occur due to various reasons including imperfect competition, taxation, externalities, and the absence of markets. Therefore, all the listed factors contribute to market failure.
More Market MCQs
Practice related questions from the same subject.
- 1.Broadcasting firms use satellite TV subscriptions and signal detection tools primarily to combat which issue?
- 2.Which of the following is a classic example of a public good?
- 3.When a neighbor burns yard debris and smoke enters your home, what type of externality does this represent?
- 4.Why is a competitive equilibrium considered Pareto efficient?
- 5.Within the insurance sector, individuals who pose a greater risk tend to purchase insurance more frequently. What concept does this illustrate?
- 6.In a Nash equilibrium, how does each player select their strategy?
- 7.In a contestable market, how must existing companies act to prevent new competitors from entering?
- 8.Which of the following is NOT classified as a form of imperfect competition?
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