Cambridge & Pearson Edexcel Past Paper Questions
Browse 35,704 questions from Cambridge O-Level & A-Level and Pearson Edexcel IGCSE & IAL exams. Click any question to practice.
Distinguish between leakages and injections in the circular flow of income and consider how they might be related.
'Keynesian policies to solve the problem of unemployment will not work because they will conflict with the attainment of other key macroeconomic ai...
The diagram shows the production possibility curve of a desert island economy where the inhabitants produce just two commodities, coconuts and fish...
A worker earns $40 per hour. Rather than work, she decides to visit a museum for three hours. The visit costs a total of $40. What is the opportuni...
A newspaper article contains the following comments. 1 The burden of tax should be shifted more to the highest earners. 2 It is in the public inter...
Which change in the way resources are allocated in an economy is consistent with moving from a planned economy to a market economy?
In which circumstance will the total expenditure by consumers on a good increase when its price increases?
When will a manufacturer’s ability to increase the quantity supplied in the short run be greater?
The diagram shows the market for strawberries. The original equilibrium position is X. What will be the new position following the failure of straw...
Good X is related to good Y. Incomes increase and the price of good Y falls. Which combination would give the greatest increase in demand for good X?
What must be correct when the free market for a good is in disequilibrium?
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...
The table shows the supply and demand for avocados in Mexico City. As a result of lower transport costs, supply rises by 60 kg at all prices. What ...
The diagram shows a demand curve for pineapples. What happens to the value of price elasticity of demand (PED) when there is a movement from point ...
Four firms produce furniture. The table shows the price elasticity of supply (PES) for each firm. If the price of furniture rises by 5% which firm ...
Which argument has often been used to justify the privatisation of state enterprises?
A government imposes a maximum rent in order to make rented housing more affordable. What is likely to be a long-run consequence if the maximum is ...
What would be categorised as direct government provision of goods and services?
Which type of tax is the 15% sales tax levied in South Africa?
What is an example of a transfer payment?
What will lead to an immediate improvement in the balance of payments deficit on current account?
An appreciation of the South African rand in the foreign exchange markets is most likely to assist the South African government achieve which polic...
Four countries, A, B, C and D, trade internationally. Each circle in the diagram represents a free trade area between the countries within the circ...
The diagram shows Greece’s trade position with the EU between 2005 and 2014. How does the Greek trade balance with the EU differ in 2014 compared t...
A central bank forecasts a rise in raw material costs. The government plans to increase spending on health and education. The initial equilibrium p...
A country with a floating exchange rate experiences a large surplus on the current account of its balance of payments. What is likely to decrease a...
In 2018 an investor in the United States (US) purchased shares in a German bank. In December 2018 the US investor was paid a dividend on these shar...
Which statement describes disinflation?
In a closed economy a rise in aggregate demand is needed to increase output in the country. What is necessary to achieve this increase in output in...
A country with a fixed exchange rate and a deficit in the current account of its balance of payments enters a recession. It devalues its currency i...
What is an example of fiscal policy aimed at increasing aggregate demand in an economy?
A country with a fixed exchange rate experiences a balance of payments surplus. Which policy measure will enable it to maintain its exchange rate?
An American family is choosing between four holiday destinations in Europe, each at the same price. The table shows the family's order of preferenc...
The diagram shows two production possibility curves for an economy. [diagram] Which combination of movements correctly illustrates these changes in...
What distinguishes the very long run from the long run?
Which statement is a positive statement?
What could not cause a shift in an individual's demand curve for good Z?
The diagram shows the market for sugar which is initially in equilibrium at a price of OP. [diagram] A government then fixes a maximum price of OP1...
The table shows a competitive market in equilibrium in two periods. period market price (cents) quantity traded 1 50 10000 2 60 12000 What could ex...
Which example of consumer behaviour would create consumer surplus?
A manufacturer reduces the price of its goods after developing a more efficient manufacturing process. It makes leather belts that compete against ...
What is the likely price elasticity of supply of highly perishable goods and goods that have low stocks? highly perishable goods goods that have lo...
The diagrams show the initial demand curve D₁ and supply curve S₁ for steel in the European Union (EU). In 2018 European steel firms experienced ri...
The market for wheat is in equilibrium at price P with supply at 40 million tonnes. Due to a drought in the growing season, supply falls to 20 mill...
What is used to calculate the price elasticity of demand?
After a series of poor harvests, a government imposes an effective maximum price on cereals. What would be a consequence of this policy?
What would be a transfer payment?
The government redistributes income by raising the top rate of income tax and using the money raised to finance additional benefits to students and...
A government wishes to increase the supply of houses. It pays a subsidy to brick manufacturers to increase supplies of bricks to S2. The diagram sh...
Why is national defence provided by the government?