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Will this stop people buying cigarettes?  Market failure in action

Jim Riley

11th November 2011

When I teach the cures of market failure I always say LETS intervene. This means governments could legislate, educate, tax or subsidise to reduce the market failure. This video shows a great example of the Australian government using legislation to reduce consumption of cigarettes which are a demerit good. Do your class think this is a good solution or can they think of anything better?

Sky News

Jim Riley

Jim co-founded tutor2u alongside his twin brother Geoff! Jim is a well-known Business writer and presenter as well as being one of the UK's leading educational technology entrepreneurs.

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