Microeconomic decision makers — IGCSE Economics (0987) questions by topic

Wage discrimination between countries, economies of scale following a merger, and the functions of trade unions sit at the centre of this microeconomic-decision-makers page, spanning 1 to 20 marks across 14 questions from 2025 papers. Identify and calculate carry the data-reading load, while explain, analyse and discuss ask you to connect a diagram or table to a firm's or worker's behaviour.

Submit full discursive answers for instant marking to see how the mark scheme distinguishes a correctly identified trend from one that is also properly explained in economic terms.

May–June 2025, Paper 11

Question 10 · 1 mark

What is not a form of money? A a banknote B a cheque C a coin D a credit card

Answer this question and get it marked →
Question 11 · 1 mark

If interest rates fall, what will be the most likely effect on saving and borrowing? saving borrowing --- --- --- A decrease decrease B decrease increase C increase decrease D…

Answer this question and get it marked →
Question 12 · 1 mark

A bus driver initially works longer hours if the wage rate increases. As his earnings increase, there reaches a point when he prefers more leisure than extra work. Which supply…

Answer this question and get it marked →
Question 13 · 1 mark

What is a function of a trade union? A to negotiate workers' contracts B to promote workers to more responsible jobs C to recruit workers for the firm D to supervise the workers…

Answer this question and get it marked →
Question 14 · 1 mark

There has been an improvement in the transport infrastructure in India that reduces the costs of farming. What is this an example of? A external diseconomies of scale B external…

Answer this question and get it marked →
Question 16 · 1 mark

The diagram shows the average total costs (ATC) and average fixed costs (AFC) for a firm. The diagram has 'cost $' on the vertical axis (marked at 2, 6, 10, 14) and 'output' on…

Answer this question and get it marked →

May–June 2025, Paper 12

Question 10 · 1 mark

The table shows the average wage in four countries, A, B, C and D. In which country is there the greatest relative wage discrimination against female employees? male $ female $…

Answer this question and get it marked →
Question 11 · 1 mark

The diagram shows the average total cost curve (ATC) for a firm after a merger. The ATC curve is U-shaped; point X is near the bottom of the curve and point Y is slightly to the…

Answer this question and get it marked →
Question 12 · 1 mark

A restaurant employs two chefs who make all of the meals that are served to customers. What is most likely to increase the productivity of the chefs? A a decrease in the number of…

Answer this question and get it marked →
Question 13 · 1 mark

What are fixed costs? A costs that are divided by the amount produced B costs that are present when output is zero C costs that change according to the level of output D costs…

Answer this question and get it marked →
Question 14 · 1 mark

The table shows the daily output and costs of four firms making chairs. Which firm has the highest average cost of production? output (units) fixed costs ($) variable costs ($)…

Answer this question and get it marked →
Question 15 · 1 mark

The only information known about a firm is the price it charges for its product and the quantity it sells. What else can be concluded from this? A its average cost and profit B…

Answer this question and get it marked →

May–June 2025, Paper 22

Question 2 · 20 marks

Identify two advantages a firm may gain from merging with another firm. [2]

Answer this question and get it marked →
Question 5 · 20 marks

Identify two influences on household spending. [2]

Answer this question and get it marked →

Other IGCSE Economics topics

← All IGCSE Economics (0987) past papers