Day: July 28, 2021

Consumers receive an increase in their incomes.

Which circumstances will cause the quantity of the product sold to increase the most?

Select ONE answer:

1. nature of the product – inferior good  /  price elasticity of supply of the product – price elastic
2. nature of the product – inferior good  /  price elasticity of supply of the product – price inelastic
3. nature of the product – normal good  /  price elasticity of supply of the product – price elastic
4. nature of the product – normal good  /  price elasticity of supply of the product – price inelastic

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct
4. Not correct

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