A-LevelEconomicsGovernment Microeconomic InterventionFeb/Mar 2019Paper 1 Q181 Mark
A government is concerned that foreign-owned companies are responsible for a high proportion of the economy's output. Therefore it nationalises timber extraction, which is controlled by a foreign-owned company. What benefit will the economy gain from the change in ownership?
Aforestry workers will become the new owners
Bprofits will no longer be sent abroad to foreign shareholders
Csocial costs arising from forestry will be eliminated
Dthe market for timber will become more competitive
✓ Correct Answer
The correct answer is B. This question tests the candidate's understanding of government microeconomic 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