Choose a market failure.....?

Question

and argue in favor of a government policy to address the market failure. Be specific in terms of the extent of your government policy recommendations. Also discuss some of the potential shortcomings associated with your government policy

Answer 1

A market failure? California privatising the energy sector. When the state renounced its obligation to produce and distribute electricity, it delegated the function to private companies.

However, as companies began to make profits, they appropriated the gains (as opposed to funnelling those resources to maintaining and updating the power grid). As the power grid became outdated because of a lack of maintenance, and as companies appropriated the profits, more and more blackouts affected California (and the rest of the country, since power grids are interconnected to each other).

This is a clear market failure since companies had no incentive to invest in the grid´s maintenance, let alone Research & Development.

Answer 2

A universally recognized market failure is the under productions of public goods by the market. (public health, education, roads, research and development, national and domestic security). Another souce of market failure is the is called " the tragedy of the commons" which addresses problems of shared resources (polution)
This should get you started.

Answer 3

I am going to agree with the above gentlemen. You are not asking a question, but just getting someone else to do your work. It's called cheating.

Answer 4

DO YOUR OWN HOMEWORK!!! HOW DO YOU EXPECT TO LEARN IF SOMEONE ELSE IS DOING YOU HOMEWORK WHILE YOU SET BACK AND PLAY ON THE NET?