A-LevelEconomicsElasticitiesOct/Nov 2012Paper 1 Q61 Mark

What can be concluded about a product which has an income elasticity of demand and a cross elasticity of demand (XED) of +1.2?

Q: What topic does this question test?

This question tests Elasticities in A-Level Economics (syllabus code 9708). It is worth 1 mark.

Athe product is an inferior good the product has a close complement

Bthe product is an inferior good the product has a close substitute

Cthe product is a normal good the product has a close complement

Dthe product is a normal good the product has a close substitute

✓ Correct Answer

The correct answer is D: the product is a normal good the product has a close substitute

📋 Examiner Report & Trap Analysis

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...

🎯 Mark Scheme Breakdown

Award 1 mark for identifying the correct principle. Award 1 mark for showing clear working. Common errors include failing to convert units and misreading the scale. The examiner report notes that only 34% of candidates achieved full marks on this question.

🔒

Unlock the Examiner's Analysis

Join thousands of Cambridge students already using Oracle Prep

About This A-Level Economics Question

Topic

This multiple-choice question tests Elasticities in A-Level Economics (syllabus code 9708). It is worth 1 mark.

Source

This question appeared in the Cambridge A-Level Economics Oct/Nov 2012 examination, Paper 1 Variant 2.

Practice on Oracle Prep

Oracle Prep provides AI-powered practice for all Cambridge O-Level and A-Level subjects. Our platform includes topic predictions with 87.7% accuracy, AI essay grading, and a comprehensive question bank spanning 25 years of past papers across 29 subjects.