AS & A Level Economics (9708) — May–June 2023, Paper 31
30 questions · every question answerable online with instant point-by-point AI marking against the official mark scheme.
Start with Question 1 →What does the marginal utility diagram show? [Diagram: vertical axis labelled 'utility', horizontal axis labelled 'quantity', origin O. A single straight line slopes downward from…
Answer this question and get it marked →The initial allocation of goods between three consumers is shown. consumer 1 consumer 2 consumer 3 total --- --- --- --- 2 5 10 17 Which row shows a Pareto improvement in the…
Answer this question and get it marked →Which assumption in relation to an indifference theory diagram is not correct? A The consumer's income may change. B The consumer may change their satisfaction-maximising…
Answer this question and get it marked →Which type of efficiency is shown by the shift from long-run average cost curve 1 (LRAC₁) to long-run average cost curve 2 (LRAC₂)? [Diagram: vertical axis labelled 'price',…
Answer this question and get it marked →A firm wishes to maximise its revenue. Which condition must be met to achieve this goal? A average cost = average revenue B marginal cost = average revenue C marginal cost =…
Answer this question and get it marked →The costs and revenue of four firms operating in a monopolistically competitive market are shown. firm total variable cost $m total fixed cost $m total revenue $m --- --- --- ---…
Answer this question and get it marked →A firm at its current level of production finds that its short-run marginal cost is less than its short-run average variable cost. Which conclusion about the firm can be drawn…
Answer this question and get it marked →Steel producer X takes over its main competitor, steel producer Y. What would X expect to happen to the price elasticity of demand for its product and its long-run average cost as…
Answer this question and get it marked →What is an example of an external cost? A distribution costs B energy costs C labour costs D road congestion costs
Answer this question and get it marked →The diagram shows the demand for and supply of a good and the marginal social costs (MSC) for that good. [Diagram: vertical axis labelled 'costs, revenue', horizontal axis…
Answer this question and get it marked →What would definitely result from the divorce of ownership and control? A decreased moral hazard B the principal agent problem C greater productive efficiency D increased profit…
Answer this question and get it marked →One reason for market failure is the existence of public goods. Which policy option is appropriate for addressing such a market failure? A direct provision of the good by the…
Answer this question and get it marked →In 2020, the governor of California issued an order to ban the sale of new vehicles from 2035 that are powered by petrol or diesel fuel. Which type of government policy is this? A…
Answer this question and get it marked →The diagram illustrates a monopsony labour market in which the government has imposed a minimum wage. [Diagram: vertical axis labelled 'wage rate', horizontal axis labelled…
Answer this question and get it marked →Economics textbooks state that labour is a derived demand for a firm in imperfect competition. How is the demand curve for labour derived? A by multiplying the average physical…
Answer this question and get it marked →The diagram shows the Lorenz curves for Norway (N) and India (I). [Diagram: vertical axis labelled 'cumulative percentage of income' (0 to 100), horizontal axis labelled…
Answer this question and get it marked →A reason for government intervention in the workings of the economy is to attempt to correct a market failure. Sometimes, though, government failure may occur. What is not a…
Answer this question and get it marked →A government wishes to support growth in the economy's fishing industry. Which policy is likely to achieve sustainable growth in the fishing industry? A giving more modern fishing…
Answer this question and get it marked →Four citizens have each been unemployed for the past six months. Which citizen would not be characterised as being structurally unemployed? A worked as a coal miner but coal-fired…
Answer this question and get it marked →In the diagram, OP is the equilibrium level of income and OQ is the full employment level of income in a closed economy. [Diagram: vertical axis labelled 'expenditure', horizontal…
Answer this question and get it marked →What is the most effective policy a government could introduce to reduce frictional unemployment? A cut welfare spending on benefits B improve information about job vacancies C…
Answer this question and get it marked →In a closed economy with no government sector, when will an increase in investment spending generate the largest increase in equilibrium national income? A when households have a…
Answer this question and get it marked →Which combination of policies is most likely to increase output? fiscal policy monetary policy --- --- --- A decrease budget deficit decrease interest rates B decrease budget…
Answer this question and get it marked →A country is a net importer of oil. World oil prices have risen over the year. Assuming that all other factors remain the same, how is this likely to affect inflation, trade…
Answer this question and get it marked →What would reduce the effectiveness of a supply-side stimulus to the economy? A an imposition of maximum hours in a working week B an increase in public sector spending C the…
Answer this question and get it marked →A multinational company (MNC) shifts its manufacturing capacity to a developing country. What is likely to be the short-run effect of this in the developing country? employment…
Answer this question and get it marked →To indicate the changing income distribution, the Kuznets curve plots gross domestic product per capita against an economic variable X. What is variable X? A the exchange rate B…
Answer this question and get it marked →Economists define the unemployed as being those who are not in work but are actively seeking work. Other groups of people in the population of working age include those classed as…
Answer this question and get it marked →The table shows some United Nations population statistics for 2010 and estimates for 2050. type of region total population (m) 2010 total population (m) 2050 urban population (m)…
Answer this question and get it marked →The diagram shows a Lorenz curve with two areas, X and Y, identified. [Diagram: vertical axis labelled 'cumulative % of income' (0 to 100), horizontal axis labelled 'cumulative %…
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