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CAIE A-Level Economics 3.2.6 Information Provision

Practise showing how information campaigns or advertising restrictions alter demand and comparing their effects with indirect taxes in unhealthy-product markets.

Syllabus
2026–2028
Course
Economics 9708
Level
AS

Exam points

  • show better information or advertising restrictions as a leftward demand shift for harmful goods
  • compare an education campaign with an indirect tax using behaviour, PED and substitution
  • evaluate health, fiscal and distributional effects for consumers and government

3.2.6—Information provision question 1

[Maximum number: 1]

A government may use a range of methods to intervene in a market to affect both demand and supply.

What is a method which will shift the demand curve for a good?

A

an indirect tax

B

a subsidy

C

direct provision

D

provision of information

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