Quelpr
8 marksIntervention

CAPE Economics Unit 1 · 2015 · Paper 2 · Question 4(c)

Discuss TWO measures used by governments to correct market failure.

The mark scheme is shown once you've answered.

Practise this question

Other parts of this question

  1. 4(a)(i)Define the term 'market failure'.[2 marks]
  2. 4(a)(ii)Define the term 'Pareto efficiency'.[2 marks]
  3. 4(a)(iii)Define the term 'productive efficiency'.[2 marks]
  4. 4(b)(i)State THREE reasons why competition or regulatory authorities may prevent a merger of TWO major companies in an industry.[3 marks]
  5. 4(b)(ii)a)Explain how public goods contribute to market failure, stating an example.[4 marks]
  6. 4(b)(ii)b)Explain how merit goods contribute to market failure, stating an example.[4 marks]

More practice: the rest of this paper · more Intervention questions · all CAPE Economics Unit 1 past papers