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A-LevelEconomicsGovernment Microeconomic InterventionMay/June 2019Paper 1 Q151 Mark

Too much sugar causes an increase in a consumer's weight. A government has introduced a 'sugar tax' on the consumption of soft drinks that have a high sugar content. How might this policy help to reduce the number of overweight people?

AConsumers switch to cheaper brands of soft drink with a high sugar content.
BConsumers switch to other high-sugar substitute goods, such as alcohol or sweets.
CThe price elasticity of demand for soft drinks is inelastic.
DThe tax revenue is spent on education about the dangers of soft drink consumption.

✓ Correct Answer

The correct answer is D: The tax revenue is spent on education about the dangers of soft drink consumption.

📋 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 multiple-choice question tests Government Microeconomic Intervention in A-Level Economics (syllabus code 9708). It is worth 1 mark.

Source

This question appeared in the Cambridge A-Level Economics May/June 2019 examination, Paper 1 Variant 2.

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