What are types of market failures in the economy that affect small businesses?
There are different types of market failures in the economy that can affect small businesses. Many different types of small businesses in Canada provide a product or service for the consumer in our local, national, and international markets. These businesses can thrive in a competitive market when all the factors are in place to support the business. However, during financial difficulties, the business can have problems with operations and may not be able to meet the market demands as a result. A business going through financial difficulties could easily experience market failure as a result.
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