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QUESTION

Market Failure and Transaction Cost

Option #1: Market Failure and Transactions Cost

Complete the following:

  • Find an article published within 60 days prior to the term that deals with a government action intended to alleviate a market failure.
  • Evaluate this decision in light of the potential or realized unintended consequences and the role that transactions cost plays in the market failure.
  • Create a demand-supply graph that illustrates this market failure and very briefly explain the graph.

Requirements:

  • Your paper should be at least 2 pages in length and must conform to the CSU-Global Guide to Writing and APA Requirements.
  • Include a supply-demand graph.
  • Incorporate at least three scholarly references that are not required readings for this module. The CSU-Global Library is a good place to find these references.
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