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Supply side failures - PowerPoint PPT Presentation

Market Failures: Public Goods and Externalities

Market Failures: Public Goods and Externalities. 4. Market Failures. Market fails to produce the right amount of the product Resources may be Overallocated Underallocated. LO1. Demand-Side Failures. Impossible to charge consumers what they are willing to pay for the product

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Supply side failures - PowerPoint PPT Presentation

Market Failures: Public Goods and Externalities