UPSC Exam > UPSC Questions > What are the cons of market mechanisms in the...
Start Learning for Free
What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only?
Most Upvoted Answer
What are the cons of market mechanisms in the context of achieving sus...
Cons of Market Mechanisms in Achieving Sustainable Development
1. Inequitable Distribution of Resources
Market mechanisms can lead to unequal access to resources, where wealthier entities dominate, marginalizing poorer communities and exacerbating inequality.
2. Short-term Focus
Markets often prioritize short-term profits over long-term sustainability, leading to decisions that may harm the environment and future generations.
3. Environmental Externalities
Market systems may fail to account for environmental externalities, such as pollution, which can result in over-exploitation of natural resources without necessary regulation.
4. Volatility and Uncertainty
The reliance on market-based approaches can lead to volatility and uncertainty, making it difficult for businesses and communities to plan for sustainable practices effectively.
5. Market Failure in Public Goods
Market mechanisms struggle to provide public goods, like clean air and biodiversity, which are essential for sustainable development but are often underfunded and undervalued in a profit-driven system.
These points highlight the limitations of solely relying on market mechanisms to achieve sustainable development goals, emphasizing the need for integrated approaches that consider social, environmental, and economic factors.
1. Inequitable Distribution of Resources
Market mechanisms can lead to unequal access to resources, where wealthier entities dominate, marginalizing poorer communities and exacerbating inequality.
2. Short-term Focus
Markets often prioritize short-term profits over long-term sustainability, leading to decisions that may harm the environment and future generations.
3. Environmental Externalities
Market systems may fail to account for environmental externalities, such as pollution, which can result in over-exploitation of natural resources without necessary regulation.
4. Volatility and Uncertainty
The reliance on market-based approaches can lead to volatility and uncertainty, making it difficult for businesses and communities to plan for sustainable practices effectively.
5. Market Failure in Public Goods
Market mechanisms struggle to provide public goods, like clean air and biodiversity, which are essential for sustainable development but are often underfunded and undervalued in a profit-driven system.
These points highlight the limitations of solely relying on market mechanisms to achieve sustainable development goals, emphasizing the need for integrated approaches that consider social, environmental, and economic factors.
Attention UPSC Students!
To make sure you are not studying endlessly, EduRev has designed UPSC study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in UPSC.
|
Explore Courses for UPSC exam
|
|
Similar UPSC Doubts
Top Courses for UPSCView all
What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only?
Question Description
What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only?.
What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only?.
Solutions for What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only? in English & in Hindi are available as part of our courses for UPSC.
Download more important topics, notes, lectures and mock test series for UPSC Exam by signing up for free.
Here you can find the meaning of What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only? defined & explained in the simplest way possible. Besides giving the explanation of
What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only?, a detailed solution for What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only? has been provided alongside types of What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only? theory, EduRev gives you an
ample number of questions to practice What are the cons of market mechanisms in the context of achieving sustainable development. give 5 points with one sentence explanation for each point only? tests, examples and also practice UPSC tests.
|
|
Explore Courses for UPSC exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup