Spot price of West Texas Intermediate in relation to the price of Brent Crude. Historically price differences between Brent and other index crudes have been based on physical differences in crude oil specifications and short-term variations in supply and demand.
When does market failure occur? Whenever resources are not allocated efficiently. ie. total surplus is not maximised. What are the main types of market failure?
Any of the following six scenarios could create an economic collapse. 1  If the U.S. dollar rapidly loses value, it would create hyperinflation. 2  A bank run could force banks to close or even go out of business, cutting off lending and even cash withdrawals.