AS & A Level Economics (9708) — May–June 2024, Paper 13
30 questions · every question answerable online with instant point-by-point AI marking against the official mark scheme.
Start with Question 1 →What is not an example of a public good? A education B flood control systems C national defence D street lighting
Answer this question and get it marked →The diagram shows a production possibility curve for an economy that produces two goods, X and Y. When will the opportunity cost of producing more of good X be the largest? A…
Answer this question and get it marked →Which activity illustrates the consumption of a ‘free’ good? A a farmer using water taken from a river B a patient visiting a medical facility provided by a charity C a person…
Answer this question and get it marked →What is essential to eliminate scarcity? A the existence of sufficient resources to meet all needs and wants B producers consistently produce in excess of demand C the government…
Answer this question and get it marked →What will encourage a higher degree of division of labour? A firms wishing for a greater level of self-sufficiency B firms wishing to increase their flexibility in production C…
Answer this question and get it marked →Which business is likely to be the slowest to alter its output in response to a sustained increase in demand for its product? A a fast-food restaurant B a household cleaning…
Answer this question and get it marked →A company uses large amounts of gas to produce steel. Supplies of gas are reduced at the same time as the market for steel is hit by a recession. What can be said about the likely…
Answer this question and get it marked →A firm is charging a price of $12 for its product and using 80% of its production capacity of 10 000 units per month. Assuming the product has unitary price elastic demand, which…
Answer this question and get it marked →The diagram shows the demand for and supply of hotel accommodation. The market equilibrium is at point E. The hotel receives a very large number of bad reviews about the quality…
Answer this question and get it marked →What most accurately describes a market supply curve? A supply at different income levels, assuming product prices remain unchanged B supply at different levels of factor prices,…
Answer this question and get it marked →In the diagram, D₁ shows an individual’s initial demand curve for public transport. What could cause the demand curve to shift to D₂? A The costs of running the individual’s car…
Answer this question and get it marked →A government introduces an effective minimum price for a product but makes no other intervention in the market. This policy suggests that the government’s objective is A to…
Answer this question and get it marked →The diagram shows the effect of an indirect tax imposed on cigarettes. The market is initially in equilibrium at point X. Which area represents the incidence of the tax on…
Answer this question and get it marked →The diagram shows the supply curve of a product. The government imposes a specific indirect tax of $5 on the product. How will the price elasticity of supply of the product…
Answer this question and get it marked →The diagrams show a country’s aggregate demand (AD₁) and aggregate supply (AS₁) curves. Since the world economic downturn (2007–2008), some governments have reduced labour costs…
Answer this question and get it marked →The diagram shows the effect on the average price level when aggregate demand (AD) increases from AD₁ to AD₂. Which statement relating to this change in aggregate demand is…
Answer this question and get it marked →The table lists the values of the components of an economy’s circular flow of income. component value $m --- --- government spending 6 exports 8 investment 9 imports 7 saving 10…
Answer this question and get it marked →What is a cost of negative economic growth? A deteriorating balance of payments B higher inflation C higher unemployment D increased pollution
Answer this question and get it marked →A government statistical office measured changes in income from employment, pensions and benefits, then subtracted income tax and welfare contributions and adjusted for inflation.…
Answer this question and get it marked →Which combination of fiscal and monetary policies is most likely to be effective in the short run to prevent deflation in a closed economy? fiscal policy monetary policy --- ---…
Answer this question and get it marked →Which macroeconomic objective is most likely to be achieved by increasing income tax? A depreciation of the exchange rate B economic growth C low unemployment D price stability
Answer this question and get it marked →What is not a supply-side policy? A increasing government expenditure on infrastructure B increasing research and development expenditure C increasing subsidies for education and…
Answer this question and get it marked →When can a policy be classified as macroeconomic? A when it focuses on the level of individual welfare B when it involves economy-wide institutions and behaviour C when it is…
Answer this question and get it marked →The demand for a country’s exports is price elastic. If it is experiencing a deficit on the current account of its balance of payments, which combination of policies is most…
Answer this question and get it marked →What is an unintended consequence of the US government restricting imports of cheap Chinese steel? A US importers of steel pay lower prices for steel. B US manufacturers become…
Answer this question and get it marked →What is an export of services in Jamaica’s current account? A an inflow of funds to Jamaica to buy shares B earnings from US tourists visiting Jamaica C earnings of Haitian…
Answer this question and get it marked →A country imports natural gas for which it has price-inelastic demand. What is the effect if that country imposes an import duty on the gas? A Consumers in the importing country…
Answer this question and get it marked →The table shows the output of goods X and Y in China and the United States (US) before specialisation. good X good Y --- --- --- China 20 000 70 000 US 20 000 50 000 total 40 000…
Answer this question and get it marked →Economists suggest that multilateral trade between many countries is preferable to bilateral trade between two countries. Why is this? A Bilateral trade means that trade diversion…
Answer this question and get it marked →A country experiences an improvement in its terms of trade. What is the most likely cause? A a decrease in its budget deficit B a relatively low rate of domestic inflation C a…
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