The following statements are FALSE about market failures EXCEPT a. An efficient monopoly in allocating its resources causes a large consumer surplus. b. Price mechanism in the private market allow limited resources to be efficiently used. c. Market mechanism provide an opportunity to enter a perfectly competition market. d. Market mechanism are not the best tool to distribute resources fairly.

The following statements are FALSE about market failures EXCEPT a. An efficient monopoly in allocating its resources causes a large consumer surplus. b. Price mechanism in the private market allow limited resources to be efficiently used. c. Market mechanism provide an opportunity to enter a perfectly competition market. d. Market mechanism are not the best tool to distribute resources fairly.

Principles of Economics, 7th Edition (MindTap Course List)

7th Edition

ISBN:9781285165875

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter11: Public Goods And Common Resources

Section: Chapter Questions

Problem 6QCMC

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