Solution

Government intervention in education and health sectors is needed for following reasons:

1. As both public and private firms are operating in both health and education there is need for one regulatory body which should monitor their functions.

2. Cost of services provided by private firms are more which is not affordable by the weaker sections of the society.

3. Private institutions cannot operate in remote areas, but government can and hence it will benefit those staying in remote places.

4. Government interference is required for underprivileged sections of the society such as SC, ST so that they get quality education and health facilities.

5. For effective development of human capital critical sectors like education and health should be taken care by government.

6. Education and health sectors are having long gestation periods and for such projects funding and intervention of government is required in order to make facilities available for the masses.