What are the policy instruments available for government intervention to regulate inefficient market situations?

In introductory microeconomics, governments have several policy instruments to address market inefficiencies and regulate suboptimal market situations. These tools are designed to correct market failures, such as externalities, public goods, and monopolies. 

1. Taxes and Subsidies: Governments can impose taxes on negative externalities (e.g., pollution) to internalize the social costs associated with them, aligning private costs _____ _________ _____ _______ ___ ___ __________.
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