State failure/market failureWatch
"evaluate the case that state failure is worse than market failure"
- Study Helper
Looking at the question, you probably won't come to a definitive answer of which is worse, rather give arguments for both state failure being worse than market failure, and market failure being worse than state failure. This can be done by using real life situations, and showing whether one would be worse than the other, and also by using 'it depends on' to show that it's not as simple as a yes or no. That's why the question says 'evaluate' - you need to give arguments for each side, and then challenge those arguments, with analysis throughout to show your economic knowledge.
Btw state failure/refers to government failure right?