[Solved] Market Failures

Do you agree with the following statement? “Efficiency cannot be achieved when externalities exist.” Explain your view. ANSWER AND THEN REPLY TO MY CLASSMATE’S RESPONSE TO THE ABOVE QUESTION AND EXPLAIN WHY YOU AGREE? (A MINIMUM OF 200 WORDS EACH POST CLASSMATE’S POST My perspective is that when market flaws exist, the efficiency when there are significant externalities creating market failures. I suppose when negative externalities are present, it means that the producer does not bear all costs resulting in excess production. While with positive externalities the buyer does not get all the benefits of the good resulting in decreased production. For instance, of a negative externality is a factory that produces widgets but pollutes the environment in the process. The cost of the pollution isn’t borne by the factory however shared by society. If the negative externality is taken under consideration, then the cost of the widget would be higher. This would result in decreased production and a more efficient equilibrium. In this case, the market failure would be an excessive amount of production and a price that didn’t match the true cost of production as well as high levels of pollution. In conclusion, externalities lead to market failure because the price equilibrium does not accurately reflect the true costs and benefits of a product. Equilibrium is meant to ensue in the optimal level of production as it finds the ideal balance between buyers’ benefit and producers’ cost.  Reference: Boundless. “Boundless Economics.” Lumen, courses.lumenlearning.com/boundless-economics/chapter/introducing-market-failure/. For more information on Market Failures  read this: https://en.wikipedia.org/wiki/Market_failure

 

Don't use plagiarized sources. Get Your Custom Essay on
[Solved] Market Failures
Get a 15% discount on this Paper
Order Essay

 

So much stress and so little time? We’ve got you covered. Get your paper proofread, edited or written from scratch within the tight deadline.

Quality Guaranteed

With us, you are either satisfied 100% or you get your money back-No monkey business

Check Prices
Make an order in advance and get the best price
Pages (550 words)
$0.00
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know that being a student these days is hard. Because of this, our prices are some of the lowest on the market.

Instead, we offer perks, discounts, and free services to enhance your experience.
Sign up, place your order, and leave the rest to our professional paper writers in less than 2 minutes.
step 1
Upload assignment instructions
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
s
Get personalized services with My Paper Support
One writer for all your papers
You can select one writer for all your papers. This option enhances the consistency in the quality of your assignments. Select your preferred writer from the list of writers who have handledf your previous assignments
Same paper from different writers
Are you ordering the same assignment for a friend? You can get the same paper from different writers. The goal is to produce 100% unique and original papers
Copy of sources used
Our homework writers will provide you with copies of sources used on your request. Just add the option when plaing your order
What our partners say about us
We appreciate every review and are always looking for ways to grow. See what other students think about our do my paper service.
Social Work and Human Services
Excellent Work!
Customer 452587, August 24th, 2021
Nursing
They research and provide the best and up-to-date information..
Customer 452707, June 27th, 2023
Nursing
Thank you for a great paper.
Customer 452707, August 6th, 2022
Social Work and Human Services
The paper is impressive. Very professional and per the instructions
Customer 452533, May 24th, 2021
Social Work and Human Services
Excellent Work!
Customer 452587, July 28th, 2021
Database design and optimization
thanks for busting this out so expeditiously. I hope that I get a good grade.
Customer 452715, February 19th, 2022
Social Work and Human Services
Great Work!
Customer 452587, November 2nd, 2021
Business and administrative studies
GREAT
Customer 452813, June 20th, 2022
Nursing
Writer did an excellent job! Thank you.
Customer 452693, January 14th, 2022
Business and administrative studies
Perfect as always!
Customer 452909, April 15th, 2023
Human Resources Management (HRM)
Thanks for your time.
Customer 452701, September 10th, 2023
Nursing
Excellent work!! Thanks again!
Customer 452707, October 14th, 2022
Enjoy affordable prices and lifetime discounts
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Order Now Order in Chat

We now help with PROCTORED EXAM. Chat with a support agent for more details