Differences between government and market failure, assignment help

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Question Description

Explain the difference between government failure and market failure. Discuss the role of government in a market economy to address market failure. 300-500 words single spaced, at least one reference in APA. No title page needed.

Tutor Answer

agneta
School: University of Maryland

Attached.

Running head: GOVERNMENT FAILURE AND MARKET FAILURE

Government Failure and Market Failure
Institution Affiliation
Date

1

GOVERNMENT FAILURE AND MARKET FAILURE

2

Introduction
Government failure and market failure are interrelated because a keen analysis of the two
subjects reveals that one may easily cause the other. The presence of any of the failures is a
threat to the survival of the citizens of any nation. A failure on the part of a government to play
its key roles in shaping the economy may easily lead to market failure. Likewise, market failure
can be damaging to the economy hence resulting in a destabilized government (Hetzel, 2014). It
is very critical, therefore, tha...

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