Conflation means merging two or more ideas, sets, or categories into one, often confusingly. The sentence talks about improperly combining different types of problems, which makes “conflation” the most accurate word.
“Confabulation” is informal conversation, “conflict” implies disagreement, and “confession” refers to an admission—none of these fit the context.
\[
\boxed{\text{CONFLATION}}
\]
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