Correcting information failure - merit goods may be under-consumed in a free market because of a lack of knowledge or inability to make rational and informed decisions about the benefits of consumption. Similarly, demerit goods may be over-consumed as people are not aware of the sever consequences of conumption
Thus education, compulsory food labelling, health warnings, advertisement campaigns, all aim to correct the information failure.
However, this can be quite expensive and overload conumser with an inelastic demand
