Tag: KS4

To increase its labour force from 50 to 51 workers, a firm has to increase the daily wage rate from £600 to £610.

What is the marginal cost of labour per day?

Select ONE answer:

1. £10
2. £510
3. £610
4. £1,110

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 – £600 + (51 * £10)

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

A firm is operating in an imperfectly competitive market.

Why does the marginal revenue product of a factor of production employed by the firm fall as more of the factor is employed?

Select ONE answer:

1. Its marginal physical product alone falls.
2. Its marginal revenue alone falls.
3. Its marginal physical product and its marginal revenue both fall.
4. The supply price of the factor rises.

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.

What is NOT held constant when calculating the income effect of a change in the price of a good?

Select ONE answer:

1. the consumer’s money income
2. the consumer’s preferences
3. the consumer’s real income
4. the prices of other goods

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 August 2002, the US President signed a trade agreement which allowed more duty-free access to the US market for Latin American and Caribbean countries.

Who might benefit in the short run from this agreement?

Select ONE answer:

1. Caribbean countries, because they may export to Latin America
2. Latin American businesses, because they may be able to sell more in the US
3. Latin American governments, because they will not have to pay so much duty
4. the US, because it may export more to Latin America

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 an economy, both employment and unemployment rose over a ten year period.

What must have risen?

Select ONE answer:

1. birth rate
2. life expectancy
3. unemployment benefits
4. working population

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.