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ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Identify a newspaper article that illustrates a market failure in the Caribbean country of Dominican republic. Ensure that you provide a screenshot of the article in your submission. The screenshot should include the name of the publication, date of publication and name of the article. NOTE: Only the following market failures should be examined: public good, asymmetric information, positive or negative externality. (i) Identify the type of market failure being discussed in the article and discuss why market failure occurs in this scenario. (ii) Suggest a relevant government policy that would yield the efficient outcome and carefully explain the process through which the implementation of the government policy will lead to the optimal outcome. (Maximum 30 words) (iii) Carefully explain how the imposition of the chosen government policy impact consumer surplus , producer surplus and total surplus in this scenario. (Maximum 30 words)
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