Task 1: (write as if you’re writing to the Minister of Health)

Start paragraph with…
Obesity in New Zealand has increased over the past few years; this may be due to a failure in the market…

The market fails due to a few factors.

Factors: *expand - Market failure is observed due to the high prices of “healthy” foods and low prices of “junk” foods. Eg. Water is more expensive than fizzy drinks - Fast foods offering non-healthy foods are often more abundant than restaurants offering healthy foods. Eg. McDonalds is the most convenient place for people to eat - Provision of gyms and establishments that provide activities for fitness are often expensive. Eg. Gym membership are often required in order for people to stay fit and can be quite expensive

Policies that the government could use to address market failure: *expand - Tax on non-healthy foods and a subsidy on healthy foods in fast foods, restaurants, dairies and grocery stores. Eg. Decrease the price of water and increase the price of fizzy drinks in order to encourage people to buy water than fizzy drinks - Provision of establishments that provide fitness activities for free placed in key locations where people can easily access it. Eg. Provide gyms that can be used by people for free, provision of bikes that can be accessed by the public and provision of basketball courts, soccer fields, rugby fields, etc. in order to encourage people to play sports and stay fit

*Don’t forget to expand on efficiency and equity for each policy

Task 2: (write as if you’re speaking to the Government Select Committee)

Start paragraph with…
The Inequality Gap is inequitable distribution of income in the nation and has been a crucial problem that has crippled the economy of New Zealand in the recent years.

This is due to a number of factors.

Factors: *expand - Taxation, at present, does not bother the