A-LevelEconomicsDemand and SupplyMay/June 2016Paper 1 Q111 Mark
In the diagram, the supply curve shows the number of spaces in a car park and the demand curves show the demand for spaces on four different days (D1, D2, D3 and D4). [Figure X.X] The owner wishes to charge a parking fee on each of these days to allocate the spaces according to the market mechanism. Which pricing policy should the owner use?
Aset a fixed price at P₁
Bset a fixed price at P4
Cvary prices between P2 and P3
Dvary prices between P₁ and P4
✓ Correct Answer
The correct answer is D: vary prices between P₁ and P4
📋 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.
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