IB skill practice

Evaluate market failure and government intervention

Economics SL skill with original exam-style diagram and data-response seeds.

Paper 1, Paper 2 5 marks Difficulty 4

Evaluate government intervention

A government in a school IB Economics classroom diagram considers a carbon tax to reduce pollution from electricity generation. Explain one benefit and one limitation. Use the labelled diagram, data, or extract evidence before writing the answer. Enter the answer and choose the interpretation that best matches the economic evidence.

Worked practice: economic evidence and answer

Identify the economic evidence first, then state the result and interpretation.