Q4 of 2281_w11_qp_13

Question 4

Question 4 of 40

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No letter options?

Older MCQs might not have the typical A, B, C, D choices. They have choices 1, 2, 3, and a combination of them is the answer. Below is the key that maps such combinations to the answer.

A 1, 2 and 3 are correct

B 1 and 2 only are correct

C 2 and 3 only are correct

D 1 only is correct

Topics Tested

1. The basic economic pro...

1.1. The nature of the economic pro...

The difference between economic goods and free goods.

2. The allocation of reso...

2.10. Market failure

The implications of misallocation of resources in respect of the over consumption of demerit goods and goods with external costs, and the under consumption of merit goods and goods with external benefits.