A-LevelEconomicsMicroeconomic Theory / Consumer BehaviourOct/Nov 2017Paper 3 Q41 Mark
In the UK in 2015 there were two methods of charging for water supply. 1 a fixed charge giving the consumer the right to consume water at zero price per litre 2 a price per litre of water used It has been observed that the amount of water consumed is markedly lower when method 2 is used. What is implied by this observation? A Water in the UK is not a scarce good. B Water is a free good of nature and no charge should be levied. C Water is a necessity, the use of which should not be restricted by unit prices. D Water is subject to the law of diminishing marginal utility.
📋 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
Sign up for free to reveal the full examiner report, trap analysis, and mark scheme breakdown for this question.
Sign Up Free to Unlock →Join thousands of Cambridge students already using Oracle Prep