when government policies lead to outcomes that are worse than those that would occur in unregulated markets: liveweight loss occurs. government efficiency occurs. marginal costs occur. government failure occurs.



Answer :

Government failure means when due to the policies of the government or any other sort of intervention by it, an inefficiency is caused in the market which otherwise wouldn't have happened. It only happens because of the government.

This concept talks about the fact that even if the market does not operate in the best way, government intervention will make the situation worse. Marginal price is the delivered price to supply an extra good. For example, say that to make one hundred vehicle tires, it charges $one hundred. To make one extra tire might price $80. This is then the marginal price: how lots it charges to create one extra unit of an awesome or service.

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