Theoretical and Applied Economics
No. 2 / 2019 (619), Summer
Government failure vs. Market failure. The implications of incomplete information
The University of Manchester, The United Kingdom
Dumitru Alexandru BODISLAV
Bucharest University of Economic Studies, Romania
Abstract. There are many situations from the economic, social, personal fields when an individual feels the need to take a decision, sometimes under uncertainty or in risky situations and adding the imperfect information, these can yield to wrong decisions and mainly, some individuals can incur additional costs.
Moreover, it is very important that these circumstances -when one part can have more information than the other one- can be managed because the problems regarding moral hazard and adverse selection can worse off the part with less information. Furthermore, the lack of information plays an important role in both market (externalities, information asymmetry) and government intervention contexts (some group of individuals have more information than the others).
Nevertheless, starting from these extremely important ideas, this paper seeks to treat this subject in a comprehensive manner and to provide the reader a general overview about these topics.
Contents
The education and training. Priorities of the European Union
Posted offers in exogenous networks: A theoretical application and experimental results
The role of Japan in the development of emerging markets in Asia. Key lessons learned for China
Empirical examination of the stability of expectations – Augmented Phillips Curve for developing and developed countries
The causality between economic growth and stock market in developing and developed countries: Toda-Yamamoto approach
Government failure vs. Market failure. The implications of incomplete information
Foreign direct investment and total factor productivity in South Asia
The effects of political and financial risks on foreign direct investments to the MENAT countries
Exploring the nexus between macroeconomic variables and stock market returns in Germany: An ARDL Co-integration approach
Income inequalities and economic convergence in CEE countries
Exchange rate regimes and its impact on growth: An empirical analysis of BRICS countries
Dynamics of business cycle and long-term economic growth of Pakistan
Per capita gross domestic product and welfare of Gabonese households: A VAR model with exogenous hypothesis
Co-integration with regime shift between government expenditure and poverty reduction in Algeria
Trade in a two sector endogenous growth model with two accumulating factors
What discriminates the welfare outcomes of children in India. A multiple discriminant analysis in selected states