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.
When is a rise in the price of a product likely to cause more resources to be allocated to its production?
A congestion charge of £10 per day has been imposed on motorists taking their cars into Central London. What is it about driving into Central Londo...
A cost-benefit analysis of a proposed underground railway produced the following statistics. [Table with columns 'annual costs and benefits' and '$...
A government admits that building a new bridge would produce a positive net benefit to society. Owing to a lack of public funds, the bridge would h...
What is a merit good?
The diagram shows the market demand and supply curves for rice. [Figure showing supply S and demand D curves, prices $8, $10, quantities Q1, Q2, Q3...
A government removes the tariff on a product as shown in the diagram. [Figure showing domestic supply S, domestic demand D, world supply with tarif...
Country X joins an existing customs union comprising countries Y and Z. Country W is outside the customs union. Both X's initial tariff and W's tar...
The table shows four combinations of price changes which may affect a country's terms of trade. Which combination of price changes must cause an im...
The table shows all of the items on the current account of a country's balance of payments. [Table showing '$ million' for exports of goods, import...
The table shows the rate of unemployment and population for selected countries in 2009. [Table showing 'country', 'unemployment rate (%)', 'populat...
The average consumer divides his expenditure between food, clothing, accommodation and transport in the ratio 2:1:4:3. During the course of a year,...
At the start of 2009, a worker earned $100 a week. In 2009, the Retail Price Index (RPI) rose 4% and his average wage rose 7%. In 2010, the RPI fel...
The table shows items from the balance of payments for countries A, B, C and D. Official Financing including changes in reserves is excluded from t...
What must be the necessary result of a surplus in the current account of a country's balance of payments?
The graphs show the changes in the exchange rates of the £ sterling between 1998 and 2003. [Figure showing US$ per £ and £ per Euro (€) exchange ra...
Other things being equal, what will happen if a British company raises the sterling price of goods it sells to Pakistan by the full extent of a dep...
When will a country's balance of payments current account deficit be reduced?
What is the defining characteristic of a mixed economy?
In the diagram the original production possibility curve is LM. [Diagram] What might cause the curve to shift to NP?
The diagram shows a production possibility curve for an economy that produces only X and Y. [Diagram] The economy produces 1200 of good X and produ...
What might cause a country's currency notes to cease to act as money?
What does not cause the demand curve for a good to shift its position?
What can be concluded about a product which has an income elasticity of demand and a cross elasticity of demand (XED) of +1.2?
A manufacturer increases the price of his product in an attempt to increase total revenue. The table shows the outcome of the policy. price () tota...
The market demand equation for a good is given by Qd = 310 - 20p and the supply Qs = 10 + 10p where p denotes the price of the good. What is the eq...
The diagram shows the market for computer games. The market starts in equilibrium at X. [Diagram] What will be the new equilibrium if the tax on co...
The diagram shows a market for a good which is supplied partly from domestic production and partly from imports. Sh represents domestic supply and ...
The diagram illustrates the effects of placing a specific tax equal to JM on a good. [Diagram] Which area represents total tax receipts?
In which situation will it be necessary to use an alternative to the price mechanism to allocate the good between consumers?
Which policy adopted by an airline is the result of an externality?
What will be the result, from society's view, if the market price for a product does not reflect the negative externalities in its production?
A government wishes to raise the incomes of farmers without raising the price to consumers. Which policy should it use?
The diagram shows the market supply and demand curves for an agricultural product. The government guarantees producers a minimum price of OX for th...
Why might a government decide to reduce tariffs on agricultural imports?
A government believes that it can reduce its trade deficit by the introduction of a tax on an export. When is this likely to be most effective?
The table shows in millions of US$ the balance for four items in a country's current account for two years. goods services income transfers year 1 ...
The table gives some information on inflation rates, unemployment rates, and changes in wages for a number of countries in 2006. country inflation ...
What is not one of the criteria used by the International Labour Office to determine whether a person should be classified as being unemployed when...
The data given below refers to money supply and prices in the years 2006 and 2010 in four countries. Between 2006 and 2010, in which country was th...
A sudden rise in the price of imported oil caused the annual rate of inflation in a given year to be higher than expected. What might be a likely r...
The table shows the Canadian current account of the balance of payments in 2005 and 2006. 2005 (m) 2006 (m) goods 62 372 -4 568 services 12 055 -22...
What is most likely to result from a rising deficit in a country's balance of payments from increased imports of consumer goods?
In the diagram D₁ and S₁ are the initial demand and supply curves of the UK pound in foreign exchange markets. [Diagram] What will cause the demand...
When is the imposition of a tariff on a good most likely to reduce a trade deficit?
'From the age of twelve I made a living by buying towels, needles, shampoo and re-selling them as a street vendor. Now, I run three hotels in Hanoi...
What is the correct order of these economic concepts? [Figure 2.1]
A farmer can produce both beef and lamb. The opportunity cost of a kilo of beef is three kilos of lamb. The price of a kilo of beef is twice that o...
What advantage do banknotes (paper money) have over coins (metallic money)?
The diagram shows an individual's demand curve. [Figure 5.1] What does XY measure?