Archive for Market Failure

Market Failure with Haze

Market Failure with Haze

The recent haze is a very clear application of market failure and negative externality of production in Indonesia – slash and burn farming techniques.   What is slash and burn farming techniques? For rural farmer with limited access to latest farming technologies and techniques, the…

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Negative Externality in Singapore and The Economics Behind Sim Lim Scams

Negative Externality in Singapore and The Economics Behind Sim Lim Scams

Do you know that Economics can also be used to explain the rampant scans in Sim Lim Square? In particular, this is a classical example of negative externality in Singapore. Despite being “famous” for the wrong reasons, these unscrupulous shops like ‪#‎mobileair still seem to be growing…

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