Summary
Summary ECO2003F: Market Efficiency and public policy
- Course
- ECO2003 (ECO2003)
- Institution
- University Of Cape Town (UCT)
I got you. Trust me.
[Show more]
Seller
Follow
Content preview
What constitutes Market failureWhen markets allocate resources in a Pee to Inefficent
we call this MARKET FAILURE
way
when a firm produces a differentiated
good such that the price does not equal MK e
an
Defining externality
A positive or
negate effect of a production
consumption or other economic decisions on another
person or people that is not specified as a benefit
OR
liability in a contract
note it is called an external effect as the effect
in question is outside the contract
, marginal social
cost
i
Private cost
costs
note
MPC slopes upwards because the cost of producing
an additional Q increases as the land is mac
intensively used
mac This is the cost of the reduction
in and of fish caused each
quantity quality by
additional level of Q
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through EFT, credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying this summary from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller kopanosegoale. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy this summary for R203,00. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
53022 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy summaries for 14 years now