Q2 Pick the case of government failure from options covering public goods, Tesla pollution, dental information gaps and state red tape.
Edexcel · 9EC0 / 8EC0 / WEC11–14
Government failure comes up in 14 questions across the Edexcel A Level, AS and International A Level past papers (9EC0 / 8EC0 / WEC11–14), worth 44 marks between them. They run from 2019 to 2024 and appear on A Level Paper 1, AS Level Paper 1, International A Level Unit 1.
Tariffs run from 1 to 20 marks. The commonest instructions are Identify (MCQ) (8), Explain (4), Evaluate (1). Specification points covered: 1.3.6.2, 1.4.2.
Q2 Pick the case of government failure from options covering public goods, Tesla pollution, dental information gaps and state red tape.
Q4(b) Identify which outcome illustrates government failure under that price ceiling (demand contraction / distorted price signals / surplus / supply extension).
Q6(a) Using Extract B, clarify the unintended consequence referred to regarding the tax on plastic packaging.
Q1 Identify which case counts as government failure (excess supply cleared by price / share-price bubble / tax cutting external costs / tax that boosts smuggling).
Q8 Explain how market failure differs from government failure, using Maldives flooding and costly hotel planning rules.
Q5 Philippine fuel duty spurs smuggling that costs $750m of tax yearly; classify such smuggling (market failure / government failure / consumer inertia / unobtainable production)
Q2(c) Give one difficulty the EU would face in holding the wheat price at P2.
Q1 Identify the case of government failure (sugar overconsumed, generating external costs / smuggled petrol following an indirect tax / higher timber prices spurring output / flood defences ending free riding).
Q13 Evaluate why government failure can arise in any market you select (context: tax making Thai diesel 65% pricier than Malaysia's, prompting smuggling).
Q1 Pick the case that counts as government failure, from options covering welfare-gaining intervention, costly red tape, housing speculation and free riding on public goods.
Q3(b) Identify the main drawback of regulating polluting firms (reliance on price signals / unintended consequences / closing information gaps / cheaper administration).
Q5(a) State what is meant by government failure (2-mark definition).
Q9 Explain why the Philippines' tax on car imports may be considered an example of government failure.
Q3 Choose the government-failure cause: a market bubble, free riders and public goods, under-supply of goods with external benefits, or heavy admin costs from environmental regulation.
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