From a social welfare perspective, what circumstances may cause too many frims to enter a market? Explain why

udy Tools Tips ss Tips Each rectangle you can place on the following graph corresponds to a particular buyer in this market: orange (square symbols) for Alex, green (triangle symbols) for Becky, purple (diamond symbols) for Clancy, tan (dash symbols) for Elleen, and blue (circle symbols) for Hubert. Use the rectangles to shade the areas representing consumer surplus for each person who is willing and able to purchase a motor scooter at a market price of $135. (Note: If a person will not purchase a motor scooter at the market price, indicate this by leaving his or her rectangle in its original position on the palette) 22# # 3 = = PRICE (Dulars per 100 H Nex Becky Clancy Elen Market Price Huber QUANTITY Motor scooters) Based on the information on the previous graph, you can tell that consumer surplus in this market will be Alex Becky Clancy Elen Hubert will buy motor scooters at the given market price, and total

What are some markets (goods or services) where an equilibrium might not be the most desirable point? Meaning, if left alone, the market produces too much or too little compared to societal needs.

Critique the following statement as True or False and explain your reasoning in 2-3 sentences. "Market failures are observed when government intervention prevents market forces from guiding marketstoward an equilibrium."