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A-LevelEconomicsGovernment Intervention / Market StructureMay/June 2020Paper 1 Q181 Mark

A country's railways are currently run by private firms. It has been suggested that the government should nationalise the railways. What might be a reason for this?

Ato control prices of railway services
Bto encourage competition in railway services
Cto increase the profit incentive
Dto provide jobs for local people

✓ Correct Answer

The correct answer is A. This question tests the candidate's understanding of government intervention / market structure within the Economicssyllabus. The examiner's mark scheme requires...

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Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...

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About This A-Level Economics Question

This multiple-choice question appeared in the Cambridge A-Level Economics (9708) May/June 2020 examination, Paper 1 Variant 2. It tests the topic of Government Intervention / Market Structure and is worth 1 mark.

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