Unit 2: Overcoming information failure with demerit goods: Cigarettes

This BBC clip and related article shows the latest govt policy initiatives to deal with information failure in the cigarette market. Under new regulations all UK tobacco products will have to carry picture health warnings

< http://www.bbc.co.uk/mediaselector/check/player/nol/newsid_6960000/newsid_6968000?redirect=6968013.stm&news=1&amp;nbwm=1&bbram=1&nbram=1&bbwm=1&asb=1 >

http://news.bbc.co.uk/1/hi/health/6967160.stm

a) What aspect of a demerit good is this picture campaign trying to counter?
b) What other method does the clip say the government is introducing to reduce cigarette consumption?
c) To what extent do you think these and other measures will overcome the market failure associated with cigarette consumption