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A-LevelEconomicsTheory of the FirmMay/June 2018Paper 3 Q121 Mark

A firm changes its objective from maximising profit to producing at the allocatively efficient output. In which market structure must the firm operate for this to cause the least change in economic welfare? A monopolistic competition B monopoly C oligopoly D perfect competition

Q: What topic does this question test?

This question tests Theory of the Firm in A-Level Economics (syllabus code 9708). It is worth 1 mark.

📋 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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About This A-Level Economics Question

Topic

This structured question tests Theory of the Firm in A-Level Economics (syllabus code 9708). It is worth 1 mark.

Source

This question appeared in the Cambridge A-Level Economics May/June 2018 examination, Paper 3 Variant 1.

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