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Market failure and safety mandates

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Reference no: EM131479977

Critically evaluate the following statement. Automobile manufacturers continue to produce cars that are dangerous. Therefore the industry should be considered as a market failure and safety mandates should be imposed by the government to insure that all cars are completely safe.

Using the knowledge you have gained, is this statement rue or false? Explain your reasoning in at least two sentences.

Reference no: EM131479977

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