A-LevelEconomicsMicroeconomics: Demand and SupplyFeb/Mar 2020Paper 1 Q101 Mark
A power station burns waste to produce electricity. This also produces a by-product of fertiliser for farmers. What is the effect in the fertiliser market of an increase in the demand for electricity?
AThe price of fertiliser falls and the quantity demanded rises.
BThe price of fertiliser falls and the quantity supplied falls.
CThe price of fertiliser rises and the quantity demanded falls.
DThe price of fertiliser rises and the quantity supplied rises.
✓ Correct Answer
The correct answer is A. This question tests the candidate's understanding of microeconomics: demand and supply 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...
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