Tag: KS4

In which situation will it be necessary to use an alternative to the price mechanism to allocate a good between consumers?

Select ONE answer:

1. The quantity of the good available is fixed.
2. Producers of the good receive a subsidy.
3. The government imposes a specific tax on the good.
4. The government sets a maximum price below the equilibrium price.

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 4

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

This work is licensed under a Creative Commons Attribution 4.0 International License.

Why do governments often subsidise the cost of entrance to museums?

Select ONE answer:

1. Museums are a pure public good.
2. Social benefits are less than social costs.
3. Social benefits exceed private benefits.
4. Social costs exceed private costs.

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

This work is licensed under a Creative Commons Attribution 4.0 International License.

In a market economy, what is the basis for determining the allocation of factors of production.

Select ONE answer:

1. the market share of companies
2. the needs of the country
3. the pattern of consumers’ spending
4. the wealth of entrepreneurs

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

This work is licensed under a Creative Commons Attribution 4.0 International License.