Government Failure

Unintended consequences can contribute to government failure as policies aimed at correcting one market failure may have negative effects in other areas.

True

False

Government failure occurs when government intervention in a market always achieves the desired outcome.

True

False

Conflicting objectives can contribute to government failure as different government goals may contradict each other.

True

False

Inadequate information does not play a role in government failure as governments always have access to complete information.

True

False

Administrative costs can lead to government failure if the cost of implementing a policy outweighs its benefits.

True

False