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Government Intervention - What is it?

How is government intervention roughly defined?
Does government intervention always have a positive impact in the market?
Yes, government intervention always fixes everything that is going wrong in the market
No, government intervention never works, it is a waste of time.
No. However, government intervention can have both positive and negative impacts on the market.
What are merit goods?
Goods that are socially desirable but are under provided in the market
Goods that are socially desirable and are over provided in the market
Goods that are socially undesirable and are over provided in the market
What are demerit goods?
Goods that are socially undesirable but are under provided in the market
Goods that are socially desirable but are under provided in the market
Goods that are socially undesirable and are over provided in the market
What are the three main ways in which governments try to combat market inequities?
Regulation, taxation, subsidies
Inflation, innovation, taxation
Subsidies, legislation, radification
What is market failure?
In economics, market failure is the situation when society starts buying too many goods in the market.
A situation in which the allocation of goods and services is not efficient.
A situation in which the consumers become addictive to purchasing goods
What are Food Stamps?
How does government intervention help unemployment in the market?
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