Economics A-Level
Market versus government
What Market versus government means in Economics A-Level, as defined for AQA.
Definition of Market versus government
Check what you remember
Read the wording for your board, then hide it and explain Market versus government in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
Policymakers must weigh the cost of the market failure against the potential cost of government failure, as a laissez-faire approach might sometimes result in a smaller overall welfare loss.
Topics that use Market versus government
- Government failure (AQA A-Level)
Related terms
- Administrative costs
- Conflicting objectives
- Cost-benefit analysis
- Economic welfare
- Government failure
- Inadequate information
- Price mechanism
- Unintended consequences
Using Market versus government in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
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