The most significant market failure in the United States over the last period is climate change. For instance, it has led to substantial losses in the economy, accumulating to $ 40 billion. These climate changes result from global warming and have posed a significant threat to National security. Moreover, the United States is the most significant contributor to greenhouse gases emission in the world. Besides, the change in climate has led to a substantial decline in food production, slowing the economy's growth and interfering with the exchange of goods and services.