5. Property rights and market failures

Bakers are much________ (less, more) likely to supply pastries to the market if property rights are not enforced.

In the presence of market failures, public policy can improve economic efficiency.

dassfr Hie source of market failure in each case listed Market Market Failure Power Externalitv A single grocery store is the only source offood in a small town, giving the store the ability to inuence the O 0 price of food. A house party plays music at a very high volume, disturbing other residents in the neighborhood. 0 O