The UAE Government has various tools available to deal with the Market Failure, the few of...

The UAE Government has various tools available to deal with the Market Failure, the few of the tools available to the Government was

Price Profit Regulations
Restrictive Trade policy and practices
Direct Controls or Regulations
Patents and Law of Tort
Subsidy Policy
Tax Policy
Foreign Exchange Policy.

Briefly provide your views on all the above to predominantly sustain for an Economy in Market forces.

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Rahul Sunny answered 2 months ago

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The existence of a market failure often invites for government intervention in a particular market. It is generally recommended that governments should play a facilitating role rather than a direct role in markets. Regulatory interventions should be limited. Appropriate interventions should have three general aims. To improve market infrastructure, Interventions infrastructure would target, Roads, Rail, market-facilities, water points and Health-control infrastructures. To improve information is important for facilitating effective marketing. To improve institutional infrastructure is the most important government role...

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