9708_w19_qp_13
A paper of Economics, 9708
Questions:
30
Year:
2019
Paper:
1
Variant:
3
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3
An individual has an appointment with his dentist. He has a choice between travelling to the appointment by car, or leaving the car at home and travelling by bus and then by train. The costs of the journey are given below. $ bus fare train fare car parking charge petrol car wear and tear costs Given this information, what is the opportunity cost to the individual of travelling by car rather than by bus and train?
7. The price system and the microeconomy (A Level)  →  7.4. Private costs and benefits, externalities and social costs and benefits
1. Basic economic ideas and resource allocation (AS Level)  →  1.1. Scarcity, choice and opportunity cost
Open
7
Travellers can cross the English Channel either by the Channel Tunnel or by a sea journey. The table gives details of the passengers, in thousands, using these services between 2005 and 2015. Between 2005 and 2015 the price of the Channel Tunnel fell and the price of sea journeys rose. year Channel Tunnel passengers sea journey passengers 17 005 23 693 18 303 21 883 20 864 21 000 What does the data suggest?
2. The price system and the microeconomy (AS Level)  →  2.2. Price elasticity, income elasticity and cross elasticity of demand
Open
8
The diagrams represent the demand curves for three goods X, Y and Z. They are drawn to the same scale and can be used to represent the price elasticity of each good. The three goods are lamb only, all meat and all food. price O quantity good X price O quantity good Y price O quantity good Z Which combination of goods is likely to represent lamb only, all meat and all food?
2. The price system and the microeconomy (AS Level)  →  2.2. Price elasticity, income elasticity and cross elasticity of demand
2. The price system and the microeconomy (AS Level)  →  2.4. The interaction of demand and supply
Open
9
The diagram shows the European market for diesel fuel and the original equilibrium is at M. S1 D1 D2 G H J O R T N M price quantity Europeans want low-emission cars and therefore the demand for diesel fuel has decreased from D1 to D2. Which area represents the new producer surplus for companies supplying diesel fuel?
2. The price system and the microeconomy (AS Level)  →  2.5. Consumer and producer surplus
2. The price system and the microeconomy (AS Level)  →  2.4. The interaction of demand and supply
Open
16
In each diagram the initial supply is S1 and the new supply after subsidy is S2. The subsidy is identical in each case. Which diagram shows the greatest incidence of the subsidy on the consumers?
2. The price system and the microeconomy (AS Level)  →  2.4. The interaction of demand and supply
3. Government microeconomic intervention (AS Level)  →  3.2. Methods and effects of government intervention in markets
2. The price system and the microeconomy (AS Level)  →  2.5. Consumer and producer surplus
Open
19
Singapore imports almost all of its raw materials and its exports are a high percentage of its GDP. The price elasticity of demand for exports and the price elasticity of demand for imports are each less than 1. What would be the likely impact of a depreciation of the Singapore dollar?
6. International economic issues (AS Level)  →  6.4. Exchange rates
11. International economic issues (A Level)  →  11.2. Exchange rates
5. Government macroeconomic intervention (AS Level)  →  5.3. Monetary policy
Open
22
The diagram shows the effect of a tariff on a product. price P2 P1 O quantity domestic supply domestic demand world supply plus tariff world supply From this diagram, what determines the gain the tariff generates for domestic producers?
2. The price system and the microeconomy (AS Level)  →  2.5. Consumer and producer surplus
2. The price system and the microeconomy (AS Level)  →  2.4. The interaction of demand and supply
2. The price system and the microeconomy (AS Level)  →  2.1. Demand and supply curves
Open