A lovely clip from last night's Channel 4 News highlights both issues - and points you towards the welfare implications of both. This would make a lovely example for any of you facing examination questions which are asking for an evaluation of government intervention in the market. .
Econ 1 As tutor2u says, this is a good example of market failure (information failure because of the selective publication of drug research findings by pharmaceutical company manufacturing the drugs). Ben Goldacre's book Bad Pharma goes into huge detail on this industry-wide issue. Have a go at questions on the tutor2u page.
The Labour party has accused Waitrose of stealing trade from small high street shops by giving a million free coffees and newspapers to its customers every week. In its latest salvo against big business, Labour said the myWaitrose loyalty scheme was
All new behaviours raise complex questions of etiquette. The sudden ubiquity of e-cigarettes – electronic substitutes for the cancer sticks of old – is challenging our assumptions about where it is appropriate to "smoke". More than a million people are using them in the UK and, according to Bloomberg, on present trends they will outsell conventional cigarettes by 2047. So is it OK to "fire up" in an office? In a restaurant? In a hospital bed?
Airlines, train companies, the University of London and even pub chain Wetherspoons have banned e-cigarettes but opinion is divided.
What are the social costs and benefits associated with e-cigarettes?
What are the private costs and benefits?
What are the options for government intervention in this market.
Weigh up the pros and cons of your top 2 intervention types.
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