Market failure, a term frequently used by microeconomists is used when a market does not spend its resources efficiently in a free market. In the article referenced you get market failure, but in this case it works inefficiently creating negative externalities. Negative externalities are defined as the situation in which a product costs society more than its private costs. Throughout the article it is clear that a significant production externality is occurring. This becomes evident because clothing production in Bangladesh has caused more than 1000 confirmed deaths and no private payment will ever cover that social cost, making this a clear case of market failure, more specifically a negative production externality. It should be borne in mind that not only has the social price already been irremediably exceeded, but it is also gradually getting worse slowly. In the diagram on the right, a negative production externality is shown according to the microeconomic situation found in the article. It should be kept in mind that MPB (marginal private benefit) and MSB (marginal social benefit) are seen as demand. As shown, MPC (marginal private cost) exceeds MSC (marginal social cost). This creates a surplus of supply and therefore shifts Qopt to Qm taking quantity away from what is optimally required by society and creating a market failure. On the other hand, the price moved from Popt to Pm, thus creating the external cost shown between MPC and MSC. It is through the diagram that it becomes clear that producers are actually overproducing due to the external costs that society has to pay. In this case, however, the cost paid by society manifests itself in the worsening of the health (and death) of people in Bangladesh. Regardless of what economic theory would say, the effects produced by factories in Bangladesh are too negative for optimal analysis. existing production level. This means that there is no quantity of supply that should ever exist taking into account the repercussions. “We have many coconut trees in Savar, but they no longer produce coconuts. Industrial pollution is damaging our fish stocks, our fruit and our vegetables." In this case externalities cannot be measured accurately because health is only a negative aspect of the problem. In response to the negative externality released, some solutions could be useful to address the excess marginal social cost.