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According to economic theory, under what circumstances should a government intervene in issues of climate change?

According to economic theory, under what circumstances should a government intervene in

issues of climate change? (10 marks)

Extra pointers to include:

-Economic analysis

-Climate change: Global warming problems?

-Economic causes of climate change

-Negative extrenalities: explanation,diagrams, market failure

-Are third parties in society affected?

-World production and consumption point of view


Climate change results from particular human activities in every country across the world. To

What extent can government intervention in any individual country such as Singapore be

effective in combating it? (5 marks)

Extra pointers to include:

-If individual government implement policies, to what extent will it help achieve desired outcome?


What different public policy solutions are available to an individual government such as

Singapore’s to combat climate change? What are the pros and cons of each? (10 marks)

Extra pointers:

-Have 3 public policies, elaborated and explained, with pros and cons listed clearly. (example of public policy can be: policy to reduce carbon emissions

-1 policy to have negative externality diagram (Eg; Tax on goods to help solve problems?)

4. Provide examples of what each of us as private individuals can do to combat climate change in the absence of government regulation. Is this kind of private solution likely to be effective? (5 marks)

Extra pointers:

-Individually what can we do? (eg; drive less, cycle instead) Would these improve the situation?

– Have at least 3 solutions with proper elaboration


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