A-LevelEconomicsGovernment InterventionOct/Nov 2017Paper 1 Q161 Mark
The diagram shows the market for heating oil. [Figure showing supply curve S and demand curve D intersecting] If the government introduces a production subsidy, how will the financial benefit be shared between consumers and producers?
AIt will be shared equally between producer and consumer.
BIt will go entirely to the producer.
CThe majority will go to the consumer.
DThe majority will go to the producer.
✓ Correct Answer
The correct answer is D. This question tests the candidate's understanding of government intervention within the Economicssyllabus. The examiner's mark scheme requires...
📋 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...
🔒
Unlock the Examiner's Answer
Sign up for free to reveal the correct answer, the official mark scheme breakdown, and the examiner trap analysis for this question.
Sign Up Free to Unlock →Join thousands of Cambridge students already using Oracle Prep