(a)[8]
Explain why both merit goods and demerit goods are instances of private goods.
(b)[12]
Discuss whether merit goods and demerit goods are most effectively provided by a market economy.
Economics 9708 · AS & A Level · 1.6
1.6 — practice question
Worked solution & mark scheme
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Knowledge and understanding of merit goods as being under-consumed because of information failure” …
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