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Economics (AS & A Level) · May / June 2026 · Paper 13 · Question 21

9708Classification of goods and services

A government spends money providing healthcare to the population. Why does the government do this?

  1. AAll healthcare is too expensive.
  2. BHealthcare is non-excludable.
  3. CHealthcare is non-rival.
  4. DHealthcare is underconsumed.

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Correct answer: D. Healthcare is underconsumed.

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