1. Explain the paradox that government needs to intervene in the economy to allow markets to work more freely. What forms does this intervention take? 2 Why is privatisation felt to be a spur to...

1. Explain the paradox that government needs to intervene in the economy to allow markets to work more freely. What forms does this intervention take? 2 Why is privatisation felt to be a spur to greater efficiency in the major utilities? How would you measure such efficiency ‘gains’? 3 In what ways might a government’s policy on privatisation be related to its policy on competition? 4 What is meant by ‘labour market flexibility’ and why is it thought to be important? 5. Draft a press release on behalf of the government explaining why it favoured turning Railtrack into a not-for-profit company. Indicate in your statement why the option to renationalise the company was rejected. 6. You are employed by a firm of professional lobbyists which has been commissioned by a group representing European consumer interests to lobby the European Commission over the labelling of food products (e.g. contents, origin, environmental aspects). Produce a report outlining the benefits of more informative labelling on food products within the EU.