Cambridge Past Paper Questions
Browse 23,045questions from 25 years of O-Level & A-Level exams. Click any question to practice.
Imperfect competition is distinguished from perfect competition in that, in long-run equilibrium, A supply is elastic. B demand is inelastic. C mar...
The diagram shows the cost and revenue curves of a firm in imperfect competition. At which output will the firm produce if it wishes to make some s...
What makes it harder for a small firm to compete against large firms in the same industry? A Copyrights on the product have expired. B Customers wa...
A firm operates at the maximum point on its average product curve. What necessarily follows? A Average variable cost is at a minimum. B Marginal co...
The dominant firm in an oligopoly sets up a research institute to carry out new product development. Which two features of oligopoly are present in...
What is the essential feature of nudge theory? A the aim of satisficing B the establishing of a legal requirement C the existence of a contestable ...
The diagram shows a firm's marginal revenue curve. [Figure 13.1] Which total revenue curve corresponds to this firm's marginal revenue curve? A [Fi...
To control the cost of living governments have sometimes imposed a maximum price on certain goods that is below the free market price. What is ofte...
The diagram shows the effect of the introduction of a national minimum wage, WM, in an occupation where workers are employed by a profit-maximising...
What is defined as 'the payment made to a factor of production over and above that necessary to keep the factor in its present use'? A economic ren...
The table shows the values of the Gini coefficient for some countries in 2007. | | Gini coefficient | |---|---| | Namibia | 74.3 | | Zambia | 50.4...
The table gives details of the carrying capacity and number of British licensed registered ships over 100 tons between 2010 and 2014. | year | 201...
Which curve is shown in the diagram? [Figure 19.1] A Kuznets curve B Laffer curve C Lorenz curve D Phillips curve
Other things remaining equal, what will reduce the level of national income in an economy? A a fall in planned savings B a fall in the marginal pro...
An increase in government expenditure is financed by borrowing from the central bank. Other things being equal, what will be the effect on the mone...
The diagram shows the output gap as a percentage of potential GDP for the US from 1960 to 2014. [Figure 22.1] In which year was the output gap most...
The diagram shows data on various aspects of four countries. Which country is likely to be most developed? [Figure 23.1] A country A B country B C ...
The diagram shows quarterly changes in Japan's GDP from 2010 to 2015. [Figure 24.1] How many recessions occurred in Japan during this period? A 2 B...
Steps in calculating the working-age population are shown. • ......1...... + ......2...... = labour force • labour force + ......3...... = working-...
The graphs show consumer prices and unemployment for Ireland between 2002 and 2007. Content removed due to copyright restrictions. What can be conc...
Which combination of policy measures is most likely to reduce unemployment? A lowering both the exchange rate and domestic interest rates B lowerin...
A government responds to cyclical fluctuations in output by keeping tax rates and benefit rates unchanged. What is the government seeking to achiev...
Manufacturing output in China fell to the lowest for 15 months in June 2015. The government wanted to stimulate the economy. What would be most lik...
The economy of a country is simultaneously experiencing a balance of payments deficit, a budget deficit, demand-pull inflation and unemployment. Th...
When will an economic activity create a net social benefit?
The diagram shows the private and social costs and benefits of production in a free market that result in market failure. [Figure 2.1]
The diagram shows the production possibility curve for an economy. [Figure 3.1]
The diagram shows two indifference curves for a consumer. [Figure 4.1]
When the price of a good falls the effect on the quantity demanded is the result of an income effect and a substitution effect. Which statement abo...
Where is the long-run equilibrium output of a perfectly competitive firm?
A firm estimates that, all else remaining unchanged, an increase in its output will result in an equal proportionate increase in its revenue. What ...
The diagram shows a firm's cost and revenue curves. [Figure 8.1] The firm changes its objective from profit maximisation to sales revenue maximisat...
What could be a reason for the existence of small firms in various industries?
A firm in monopolistic competition that is producing at its profit maximising output is making a loss in the short run. For it to continue in produ...
The diagram shows the demand curve for a firm's product. [Figure 11.1] Which diagram shows the shape of the firm's total revenue (TR) curve? [Figur...
The diagram shows a firm in monopoly producing OQ units. [Figure 12.1]
Which feature of oligopoly is being assumed when the demand curve for an individual firm is as shown? [Figure 13.1]
Which statement is most likely to explain why a government decides to increase the highest rates of tax on personal income?
The Lorenz curves in the diagram show different distributions of income and of wealth. [Figure 15.1] Income in a country is more equally distribute...
A government wishes to discourage tax avoidance. Which policy to achieve this would be an example of the behavioural approach of nudge theory?
The diagram shows the supply and demand situation in a particular labour market. [Figure 17.1] When the market is in equilibrium, which areas measu...
In 2015 a company drilling for oil wished to reduce its workforce because of a fall in the price of oil. The workers' trade union opposed the propo...
Which policy is specifically designed to reduce the level of structural unemployment?
What is typically associated with a relatively low level of income per capita in a country?
During a certain period, a country with a constant population expands its output per head. It also experiences a significant increase in river and ...
The graphs below show percentage changes in money GDP and consumer prices in a country between 2008 and 2010. [Figure 22.1]
Why do some economists suggest there may be positive benefits from frictional unemployment?
The table shows the levels of consumption expenditure for given family incomes. [Table 24.1]
Which could cause the official statistics for the national income per head of a developing country to overstate the true level of economic well-bei...
The table shows some United Nations population statistics for 2010 and estimates for 2050. [Table 26.1]