2. What types of markets are more likely to be inefficient?

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2. What types of markets are more likely to be inefficient?

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Inefficient markets as per the Efficient Market theory fail the markets by not reflecting it's true worth of assets. And this happens when the assets are not put into their best use when they happen to be scarce by nature.

Markets which are likely to be inefficient are pointed as below:

Markets which are still producing failing product line.
Markets are suffering from the inefficient producers.
Due to bad market structure
Overpowering the monopolistic competition
Driven by negative external cost and benefits
Environmental influences on Markets

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Answer 2

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