A-LevelEconomicsGovernment InterventionMay/June 2025Paper 1 Q111 Mark
An indirect tax is imposed on good X. Which situation is most likely to result in producers bearing a higher burden of the tax?
Aprice elasticity of demand is elastic
Bprice elasticity of demand is inelastic
Cprice elasticity of supply is elastic
Dprice elasticity of supply is inelastic
✓ Correct Answer
The correct answer is A. This question tests the candidate's understanding of government intervention 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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