Which of the following government policies is most likely to improve market efficiency?

Government policies that aim to improve market efficiency usually focus on reducing barriers to competition and ensuring fair practices. For example, when a government introduces regulations that prevent monopolies, it encourages more companies to enter the market, which can lead to better prices and services for consumers. This is important because when many businesses compete, they work harder to attract customers, which often results in innovation and higher quality products. A concrete example is when a government breaks up a large company that controls an entire market, allowing smaller businesses to thrive and provide more choices to consumers. By increasing competition, these policies help the market function better, benefiting everyone involved.