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 2

Analyse positive externality

A vaccination programme in a school IB Economics classroom diagram creates benefits for people beyond the vaccinated individual. Explain why the free market may underconsume it. 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.