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All of the Following Statements Accurately Describe What Can Be

Question 3

Multiple Choice

All of the following statements accurately describe what can be called market failures in terms of a "free market economy" except which one?


A) Profits are insufficient to cause private developers to generate housing for low-income households
B) Banks refuse to invest in certain neighborhoods because of perceived risk, called redlining
C) One community's pursuit of economic well-being results in polluting the environment, thereby increasing the ability of another community to provide for its residents
D) People go hungry in some parts of the world, while in other regions surplus food is destroyed or land is kept out of agricultural production

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