Pre-Class Workshop Questions 1. What is meant by the term "market failure and what are the main types of market failure?

[answerhappygod]

Pre Class Workshop Questions 1 What Is Meant By The Term Market Failure And What Are The Main Types Of Market Failure 1 (40.42 KiB) Viewed 40 times

Pre-Class Workshop Questions 1. What is meant by the term "market failure and what are the main types of market failure? 2. Explain whether each is an example of a negative production or negative consumption externality. 3. (a) Explain why goods provided by the government such as education, healthcare and public transport are not public goods. (aWhy won't the market provide public goods? (b) What policies can the government to ensure the provision of public goods? In-Class Group Work Questions/Activities 4. What is a Pigovian tax? Explain, using a graph, how a Pigovian tax could internalise the negative externality arising from production that creates air pollution. 5. (a) Should all pollution be eliminated? 6. (a) What is the tragedy of the commons ? (b) What policies can the government to manage the use of common resources? 7. Label each of the below examples, as either a positive or negative production or consumption externality, a public good, a quasi-public good, or a common resource. cigarette smoke munisation • the ocean government roads production waste pumped into rivers national parks • education beaches .national defence air pollution 8. Does government intervention always improve on market failure? Explain your answer.