The very existence of monopolies and other market structures with imperfect competition requires the authorities to ensure conditions for competition and prevent a situation where one firm or a small group of firms practically controls certain markets. The second disadvantage of a market economy is that it carries out an insufficient allocation of resources to the public sphere of the economy, in which the so-called public goods are produced, sold and consumed. Classical examples of such goods are national defense, internal security, health care, etc.
These are services that bring important benefits to society, but for which the market does not allocate the necessary resources for the production. The third drawback is that the market mechanism is capital whatsapp mobile number list to not able to fully ensure the functioning of the intellectual sphere of the economy , in which intellectual goods or services are produced, sold and consumed, which exist mainly in intangible form, namely in the form of scientific ideas and developments, technological and technical ideas.
The market does not work in situations where there is a need to implement large investment projects with a long payback period, high risk and uncertainty about the rate of return. We are talking about fundamental science, investments in new industries for the production of products, the demand for which is difficult to predict. Without state intervention, their solution will become impossible. The fourth disadvantage of a market economy is that it does not adequately allocate resources to the social sphere .