Asked by Ahmed El Shamlol on Jul 04, 2024
Verified
Which of the following statements is not true?
A) Our government ensures that competition flourishes,that information flows freely,and that property rights are protected.
B) The price mechanism will work best if there are a enough firms in each industry to ensure that no one firm can influence price.
C) Environmental pollution is considered a market failure.
D) Everything produced by the public sector is a public gooD.
Price Mechanism
The method through which changes in supply and demand cause prices to increase or decrease, directing how resources are distributed in a market-based economy.
Market Failure
An instance where goods and services are distributed by an unregulated market in a manner that is not optimum, frequently causing a reduction in the total wellbeing of society.
Public Sector
The part of an economy that is controlled by the government, including public services and enterprises.
- Understand the basic principles and theories of economics related to markets, competition, and government intervention.
- Identify and explain economic concepts such as market failure, public goods, and external costs/benefits.
- Recognize the role of government in managing economies, including the protection of property rights and the provision of public goods.
Verified Answer
ZK
Zybrea KnightJul 05, 2024
Final Answer :
D
Explanation :
Not everything produced by the public sector is a public good. Some public sector goods and services are considered private goods, like when the government provides health care or education services to individuals who pay for them.
Learning Objectives
- Understand the basic principles and theories of economics related to markets, competition, and government intervention.
- Identify and explain economic concepts such as market failure, public goods, and external costs/benefits.
- Recognize the role of government in managing economies, including the protection of property rights and the provision of public goods.