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MP 7: Governments Can Sometimes Improve Market Outcomes

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Final answer:

Government can play important roles in addressing market problems and guide or influence markets toward certain outcomes.

Step-by-step explanation:

A general orientation toward markets does not rule out important roles for government. There are times when markets fail to allocate capital or technology in a manner that provides the greatest benefit for society as a whole. The government's role is to correct these failures. In addition, government can guide or influence markets toward certain outcomes. The following examples highlight some important areas that governments around the world have chosen to invest in to facilitate capital deepening and technology:

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User Nishit Maheta
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