Classify the source of market failure in each case.

Why do you think the Health Field Concept was so important in getting people to think about health promotion?
October 30, 2020
What is the cash flow at the end of the year?
October 30, 2020
Classify the source of market failure in each case listed.

Market Failure Market Power Externality
A manufacturing plant dumps chemical waste into a nearby river, poisoning the water supply for a small town downstream.
A single public utilities company is responsible for supplying electricity for an entire state. As a result, the utilities company can set the price of electricity.
N

Suppose that the U.S. government decides to charge wine consumers a tax. Before the tax, 15 million bottles of wine were sold every month at a price of $7 per bottle. After the tax, 9 million bottles of wine are sold every month; consumers pay $10 per bottle (including the tax), and producers receive $4 per bottle. The amount of the tax on a bottle of wine is $_______ per bottle. Of this amount, the burden that falls on consumers is $________per bottle, and the burden that falls on producers is $_______per bottle.

Consider the data in the table

Rank the years from hightest to lowest in terms of real GDP

Year     Nominal GDP         GDP deflator        Real  GDP

2009        $1020                        57

2010        $1250                        62

2011        $1450                        91

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