What do you think about the above statement? In your answer, discuss the relationship between economic growth and environment, also technological progress and the nature of natural resources. Give at least 3 supporting papers (2/3 must be in English).
2) Microeconomics focuses on the determination of prices, outputs, and income distributions in markets through supply and demand. Under competition, the interaction of market demand and market supply will adjust price to that point where quantity demanded and quantity supplied are equal. As a result, economists believe that efficiency can be reached through a market system. But market failure often occurs where quantities and prices are distorted, leading to inefficient use of resources.
- What are conditions that lead to market distortion?
- Inefficient use of resources is likely to occur when the market is distorted. Explain why this happens.
What do you think about the above statement? In your answer, discuss the relationship between economic growth and environment, also technological progress and the nature of natural resources. Give at least 3 supporting papers (2/3 must be in English).2) Microeconomics focuses on the determination of prices, outputs, and income distributions in markets through supply and demand. Under competition, the interaction of market demand and market supply will adjust price to that point where quantity demanded and quantity supplied are equal. As a result, economists believe that efficiency can be reached through a market system. But market failure often occurs where quantities and prices are distorted, leading to inefficient use of resources.- What are conditions that lead to market distortion?- Inefficient use of resources is likely to occur when the market is distorted. Explain why this happens.
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