AQA · Microeconomics · Price determination in a competitive market

AQA Economics past paper questions: Price determination in a competitive market

Every AQA question on Price determination in a competitive market from 2016 to 2025: 1 essay, 61 data response questions and 83 multiple choice questions. It covers Demand & supply, Commodity markets, Cross elasticity, Price elasticity of demand and Price elasticity of supply. Each question links to its paper, mark scheme and examiner report.

Filter these in the tool

SubtopicsDemand & supply 86Commodity markets 23Cross elasticity 17Price elasticity of demand 17Price elasticity of supply 15Income elasticity 11Revenue & profit 6Indirect taxes & subsidies 3Price controls 3Externalities 3Technological change 2Costs & economies of scale 2Behavioural economics 1Merit & demerit goods 1Government intervention (micro) 1Inequality & poverty 1Economic growth & cycle 1Contestability & barriers 1

Essay questions on price determination in a competitive market

A-level Paper 1, November 2021, Q11Explain15 marks
Explain how the concept of cross elasticity of demand can be used to understand the relationship between markets.

Examiner insight

What to cover
XED measures how demand for one good responds to a change in the price of another. Positive values mean substitutes, negative values mean complements, and the size shows how strong the link is. Firms use it for pricing, product strategy and competition analysis.
Watch out
Give numerical examples and real pairs of goods. Explain how firms and regulators use XED.
Question paper p.6Mark scheme p.18Open in the toolPractise the YED and XED diagram

Data response questions on price determination in a competitive market

A-level Paper 1, June 2025, Q3Explain9 marks

Context 1: The international rice market

Extract B (line 19) states: ‘In Nigeria, the demand for rice is very price inelastic’. With the help of a diagram, explain how the Indian export ban is likely to have affected the market for rice in Nigeria.

Examiner insight

What to cover
India's export ban reduces world supply. Nigeria's demand is price inelastic, so the price rises sharply and quantity falls only slightly.
Watch out
Stress the size of the price rise and use the extract.
Question paper p.3Mark scheme p.7Examiner report p.4Open in the toolDraw it: PED and PES diagram
AS Paper 1, June 2025, Q25Explain10 marks

Context 1: Flood defences

Extract C (lines 14–15) states: ‘The UK House Price Index was 152.6 in August 2023, up 52.6% since January 2015.’ Explain possible reasons why the price of houses has increased in recent years.

Examiner insight

What to cover
Reasons: low interest rates, rising incomes, population growth, limited supply and inelastic supply.
Watch out
Explain reasons clearly.
Question paper p.17Mark scheme p.10Insert p.1Open in the tool
AS Paper 1, June 2025, Q30Draw4 marks

Context 2: Coffee

Extract E (lines 7–8) states: ‘with more people working from home, having your own coffee machine is now more common.’ Draw a diagram to show the impact on total revenue of a rise in the price of coffee machines if their demand is inelastic. The total revenue from the sale of coffee machines, both before and after the rise in price, should be labelled clearly.
Question paper p.26Mark scheme p.16Insert p.1Open in the toolDraw it: PED and revenue diagram
AS Paper 1, June 2025, Q31Explain10 marks

Context 2: Coffee

Extract E (lines 10–11) states: ‘Similarly, the price of the capsules also affects the demand for the coffee machines.’ Explain how an increase in the price of coffee capsules is likely to affect the market for coffee machines to use at home.

Examiner insight

What to cover
Capsules and machines are complements. A higher capsule price reduces demand for machines.
Watch out
Explain complements clearly.
Question paper p.27Mark scheme p.17Insert p.1Open in the toolPractise the supply and demand diagramPractise the YED and XED diagram
A-level Paper 1, June 2024, Q3Explain9 marks

Context 1: The market for university accommodation

Extract B (lines 3–4) states that ‘Universities have expanded the number of places on offer to students, but the supply of student accommodation is highly inelastic’. With the help of a diagram, explain the impact of the increase in the number of students attending university on the market for student accommodation.

Examiner insight

What to cover
More students increases demand for accommodation. Supply is highly price inelastic in the short run because building takes time and land is limited, so rents rise sharply and quantity rises only a little.
Watch out
Stress inelastic supply, as in the extract.
Question paper p.3Mark scheme p.7Examiner report p.4Open in the toolDraw it: supply and demand diagram
AS Paper 1, June 2024, Q25Explain10 marks

Context 1: Tourism in the UK

Extract B (lines 1–2) states: ‘As the world recovered from the recession of 2008, there was more demand for travel and tourism.’ Explain possible reasons for an increase in the demand for travel and tourism.

Examiner insight

What to cover
Reasons: higher incomes after the recession, cheaper flights, a weaker pound, and better marketing.
Watch out
Explain reasons clearly and link them to demand.
Question paper p.17Mark scheme p.10Insert p.1Open in the toolPractise the supply and demand diagram
AS Paper 1, June 2024, Q31Explain10 marks

Context 2: Eye care in the UK

Extract E (lines 15–17) states: ‘Increased competition and easier access to the internet have helped to bring down the price of some basic glasses to £25 or less.’ Explain factors that could lead to a fall in the price of glasses.

Examiner insight

What to cover
Factors: more competition from online sellers, lower production costs, and new technology.
Watch out
Explain factors clearly.
Question paper p.27Mark scheme p.16Insert p.1Open in the toolPractise the supply and demand diagram
AS Paper 1, June 2023, Q22Calculate4 marks

Context 1: Oil

Extract B (lines 4–5) states: ‘the average monthly price of Brent crude (one of two key oil prices) has varied from $116.52 in February 2013 to $23.34 in April 2020’. Calculate the oil price index for April 2020, if February 2013 is taken to be the starting point (base year) of the oil price index. Give your answer to the nearest whole number.
Question paper p.13Mark scheme p.7Insert p.1Open in the tool
AS Paper 1, June 2023, Q25Explain10 marks

Context 1: Oil

Extract C (lines 13–14) states: ‘Concerns about the impact of oil on the environment have led to the encouragement of renewable energy, such as solar, wind and tidal power’. Explain how the development of renewable sources of energy is likely to affect the market for oil.

Examiner insight

What to cover
Renewable energy is a substitute for oil, so demand for oil falls and its price falls.
Watch out
Explain substitutes clearly.
Question paper p.16Mark scheme p.10Insert p.1Open in the tool
A-level Paper 3, June 2022, Q32Explain15 marks

Case study: The commercial aircraft manufacturing industry

Explain the factors that a commercial aircraft manufacturer, such as Boeing or Airbus, should consider when forecasting the future sales of its aircraft.

Examiner insight

What to cover
Factors: world economic growth, airline profits, oil prices, exchange rates, competition, environmental rules.
Watch out
Explain how each factor affects demand for aircraft.
Question paper p.24Mark scheme p.9Insert p.3Examiner report p.6Marked student answers p.14Open in the tool
AS Paper 1, June 2022, Q28Calculate4 marks

Context 2: Alcohol

According to Extract E (lines 6–7), the price of a standard bottle of whisky had to rise from £10 to £14 in a discount supermarket, as a result of minimum unit pricing (MUP). If the demand for whisky fell by 6.3% in the first year as a result of the price change, calculate the price elasticity of demand for whisky, to two decimal places.
Question paper p.23Mark scheme p.13Insert p.1Open in the tool
AS Paper 1, June 2020, Q25Explain10 marks

Context 1: Bus travel

Extract C (line 13) states: ‘Both the take-up rate and number of journeys per bus pass have been falling in recent years.’ Explain two factors which could lead to an increase in the demand for bus travel in the future.

Examiner insight

What to cover
Factors: higher fuel prices or parking costs, lower bus fares, better services, road congestion, and an ageing population.
Watch out
Explain two factors clearly.
Question paper p.14Mark scheme p.10Insert p.1Open in the tool
AS Paper 1, June 2020, Q30Draw4 marks

Context 2: E-cigarettes

Extract E (lines 10–12) states: ‘between 2006 and 2016, the price of tobacco rose by 43% more than general retail prices with the tax now being about 80% of the price.’ Draw a supply and demand diagram to show the effects on the market for cigarettes of the government imposing an indirect tax. The total amount of government tax revenue should be labelled clearly.
Question paper p.23Mark scheme p.15Insert p.1Open in the toolDraw it: indirect tax diagram
AS Paper 1, June 2020, Q31Explain10 marks

Context 2: E-cigarettes

Extract E (lines 18–19) states: ‘the growth of e-cigarettes has fallen since, with some smokers switching back to conventional cigarettes.’ Explain two factors which could lead to an increase in the demand for conventional cigarettes.

Examiner insight

What to cover
Factors: health fears about e-cigarettes, a fall in the price of cigarettes, habit, social norms, and new e-cigarette taxes or bans.
Watch out
Explain two factors clearly.
Question paper p.24Mark scheme p.16Insert p.1Open in the tool
A-level Paper 1, June 2019, Q3Explain9 marks

Context 1: The market for sand

Extract B (line 18) states that the global trade in sand has been ‘made possible by cheaper transportation’. With the help of a diagram, explain how cheaper transportation and a construction boom in East Asia have led to growth in the market for sand.

Examiner insight

What to cover
Cheaper transport lowers costs and raises supply. The construction boom raises demand. Output in the market grows.
Watch out
State that price may rise or fall, but quantity rises. Explain which shift dominates using the data.
Question paper p.3Mark scheme p.7Open in the toolDraw it: supply and demand diagram
A-level Paper 3, June 2019, Q31To what extent10 marks

Case study: The UK’s broken housing market

To what extent, if at all, do the data suggest that houses in the UK were more affordable in 2017 than they were in 2007? You must use the data in Extract C to support your assessment.

Examiner insight

What to cover
Use the data on house prices, incomes and mortgage rates to judge affordability.
Watch out
Quote numbers from the extract.
Question paper p.18Mark scheme p.5Insert p.2Open in the tool
A-level Paper 3, June 2019, Q32Explain15 marks

Case study: The UK’s broken housing market

Explain the likely causes of the main changes in house prices that have taken place between 2007 and 2017.

Examiner insight

What to cover
Falls after 2007: recession, credit crunch, weaker confidence. Rises later: low interest rates, housing shortage, inelastic supply, population growth, help-to-buy schemes.
Watch out
Use the data and split the decade into periods.
Question paper p.22Mark scheme p.8Insert p.2Open in the tool
AS Paper 1, June 2019, Q25Explain10 marks

Context 1: Palm oil

Extract C (lines 18–19) states: ‘should there be limits on the use of palm oil for biofuel, the so-called ‘food versus fuel debate’?’ Explain how the increased demand for palm oil used for biofuel is likely to affect the market for palm oil used for food.

Examiner insight

What to cover
Palm oil for biofuel and food are in competitive demand. Higher biofuel demand draws supply away from food, so food palm oil supply falls and its price rises.
Watch out
Explain competitive demand clearly.
Question paper p.16Mark scheme p.10Insert p.1Open in the tool
A-level Paper 3, June 2018, Q31To what extent10 marks

Case study: The World Energy Market

To what extent, if at all, do the data suggest that the reliance on fossil fuels to produce energy is falling? You must use the data in Extract C to support your assessment.

Examiner insight

What to cover
Use the data to show changes in the share of fossil fuels over time.
Watch out
Quote numbers from the extract.
Question paper p.20Mark scheme p.5Insert p.2Open in the tool
AS Paper 1, June 2018, Q25Explain10 marks

Context 1: Libraries

Extract B (lines 2–3) states: ‘a recent survey found that only a third of adults had used a library in the previous year, a significant fall since data collection began in 2005’. Explain two reasons why the demand for library services has fallen.

Examiner insight

What to cover
Reasons: internet access and e-books (substitutes), changing tastes, fewer libraries and shorter opening hours, and lower awareness.
Watch out
Explain two reasons clearly and link them to demand.
Question paper p.16Mark scheme p.10Insert p.1Open in the tool
AS Paper 1, June 2018, Q28Calculate4 marks

Context 2: Agriculture

Extract E (lines 8–9) states: ‘One prediction was that 20% of dairy farms would close in 2016’. If there were 9633 dairy farms in England and Wales in January 2016, calculate, to the nearest whole number, how many dairy farms there would be in January 2017 if the prediction for the percentage of dairy farms closing in 2016 is correct.
Question paper p.23Mark scheme p.13Insert p.1Open in the tool
AS Paper 1, June 2018, Q31Explain10 marks

Context 2: Agriculture

Extract F (lines 2–3) states: ‘Dairy prices are expected to rise in 2017’. Explain two factors that could increase the price of milk.

Examiner insight

What to cover
Factors: lower supply (fewer dairy farms, poor weather, higher feed costs), higher demand (exports, population), or a weaker pound.
Watch out
Explain two factors clearly with a diagram.
Question paper p.26Mark scheme p.16Insert p.1Open in the tool
AS Paper 1, June 2017, Q31Explain10 marks

Context 2: Gambling

Extract E (lines 1–2) states ‘in 2007, before the recession, 68% of adults gambled, but by 2010, this had risen to 73%.’ Explain two factors that could have increased the percentage of adults who gamble.

Examiner insight

What to cover
Factors: online gambling access, advertising, the recession (hope of a quick win), lower prices of bets, and social norms.
Watch out
Explain two factors clearly and link them to demand.
Question paper p.26Mark scheme p.16Insert p.1Open in the tool
AS Paper 1, Specimen, Q25Explain10 marks

Context 1: Free school meals

Extract B (line 1) states that ‘In recent years, food prices have risen faster than incomes.’ Explain two possible reasons, other than a change in income, for the rise in the price of food over the period shown.

Examiner insight

What to cover
Two reasons from the supply side or other demand factors: higher costs (energy, fertiliser), poor harvests, higher world demand, weaker pound.
Watch out
The question excludes income, so do not use it.
Question paper p.13Mark scheme p.10Insert p.1Open in the tool
AS Paper 1, Specimen, Q31Explain10 marks

Context 2: Commodity prices

Extract E (lines 1–2), states ‘Potash is one of three main fertiliser products which farmers use to increase their output before planting crops such as wheat.’ Explain the possible effects on the market for wheat of a fall in the price of a fertiliser such as potash.

Examiner insight

What to cover
Potash is a fertiliser, so a lower price reduces wheat farmers' costs. Supply of wheat shifts right, the price of wheat falls and quantity rises.
Watch out
Explain the link between the two markets clearly.
Question paper p.22Mark scheme p.16Insert p.1Open in the tool
AS Paper 1, Specimen, Q32Assess25 marks

Context 2: Commodity prices

Extract F (lines 15-16) states that ‘Commodities are vital as the raw materials and energy sources to make finished products’. Using the data in the extracts and your economic knowledge, assess whether market forces should be left to determine the price of commodities such as potash, oil and gas.

Examiner insight

What to cover
Market forces set prices through supply and demand and signal scarcity.
Watch out
Use potash, oil and gas from the extracts.
Question paper p.24Mark scheme p.17Insert p.1Open in the tool

Multiple choice questions

  1. A-level Paper 3, June 2025, Q9

    Land is an example of a resource that is in composite demand. Land can be used to produce soya beans and for forestry. Between January 2019 and January 2024, the market price of soya beans increased by almost 40%. This was largely driven…

  2. A-level Paper 3, June 2025, Q13

    Figure 3 below shows the supply curve (S) for cakes. Figure 3 Which one of the following can be concluded from Figure 3? The supply of cakes

  3. A-level Paper 3, June 2025, Q14

    Figure 4 shows a market for houses to rent. The current average monthly rent in the market is R1. Figure 4 Why is this market in disequilibrium at an average monthly rent of R1?

  4. AS Paper 1, June 2025, Q3

    Figure 1 shows the market demand for electric cars. Figure 1 The shift of the market demand curve from D1 to D2 would most likely be caused by

  5. AS Paper 1, June 2025, Q8

    Microchips are used in a wide range of products, including mobile phones and traffic lights. If demand increases for one of these products, this affects the price of other products that need microchips. This is an example of

  6. AS Paper 1, June 2025, Q11

    All other things being equal, which one of the following is most likely to result in a fall in the market price of rice?

  7. AS Paper 1, June 2025, Q12

    Which one of the following is most likely to influence the price elasticity of supply of a good or service?

  8. AS Paper 1, June 2025, Q15

    Table 2 shows the weekly demand for two products, apples and pears, before and after a change in the price of pears. Table 2 Price of Price of Demand for Demand for apples (£/kg) pears (£/kg) apples (kg) pears (kg) Before the 1.60 2.50…

  9. AS Paper 1, June 2025, Q17

    Figure 4, shows the original demand (D1) and supply (S) in the market for jewellery. D2 shows the demand after an increase in incomes. Figure 4 After the increase in incomes, the market price of jewellery will rise due to

  10. AS Paper 1, June 2025, Q18

    Following a period of unusually cold weather, growers find that many of their tomato plants have been destroyed, reducing the supply of tomatoes. As a result of this

  11. A-level Paper 3, June 2024, Q4

    A household's annual income increases from £35 000 to £38 500. All other things being equal, if the household's income elasticity of demand for Good X is –0.2 and its income elasticity of demand for Good Y is 0.4, which one of the…

  12. A-level Paper 3, June 2024, Q10

    Figure 3 shows how the markets for Good X and Good Y are affected by an increase in the demand for Good X. Figure 3 It can be concluded that Good X and Good Y are in

  13. AS Paper 1, June 2024, Q3

    Figure 1 shows the demand curve for Economics textbooks. Figure 1 Which one of the following could have caused the movement along the demand curve from L to M?

  14. AS Paper 1, June 2024, Q5

    The price of carrots falls from 60p to 54p per kilo. As a result of this fall in price, the quantity supplied falls by a quarter. What is the price elasticity of supply?

  15. AS Paper 1, June 2024, Q8

    The market for barley is no longer in equilibrium due to an increase in demand for barley. This is most likely to lead to

  16. AS Paper 1, June 2024, Q15

    The cross elasticity of demand for Good R is –0.5 with respect to the price of Good S. If the price of Good S falls by 20%, demand for Good R will

  17. AS Paper 1, June 2024, Q18

    Derived demand is when

  18. AS Paper 1, June 2024, Q19

    Figure 3 shows a firm’s demand curve (D). Figure 3 If the firm raises its price from £3 to £5, demand is

  19. A-level Paper 3, June 2023, Q1

    Figure 1 shows the demand for lemons. Figure 1 The fall in price and increase in the quantity demanded of lemons could have been caused by

  20. A-level Paper 3, June 2023, Q3

    Table 1 shows the price of a packet of peanuts and the number of packets of cashew nuts sold in a shop in one month. The price of a packet of cashew nuts is unchanged. Table 1 Number of packets of Price of a packet of cashew nuts peanuts…

  21. A-level Paper 3, June 2023, Q19

    Carrots and potatoes are grown using the same factors of production. Figure X shows the demand (DC) and supply (SC) curves for carrots. Figure Y shows the demand (DP) and supply (SP) curves for potatoes. A change in people’s preferences…

  22. AS Paper 1, June 2023, Q2

    A bakery decides to increase the price of the bread that it sells. Which one of the following price elasticities of demand for bread will result in the largest increase in the bakery’s total revenue?

  23. AS Paper 1, June 2023, Q8

    Figure 2 shows the demand (D) and supply (S) curves for diamonds. An increase in demand shifts the demand curve from D1 to D2. Figure 2 Using Figure 2, which one of the following is the price elasticity of supply for diamonds?

  24. AS Paper 1, June 2023, Q10

    A good is in joint demand when it is

  25. AS Paper 1, June 2023, Q11

    Figure 3 shows a supply curve (S) for an industry. Figure 3 All other things being equal, which one of the following causes the upward slope of the supply curve?

  26. AS Paper 1, June 2023, Q15

    A government sets a maximum price for fruit below the market price to try to encourage healthier eating. All other things being equal, which one of the following will result in the lowest amount of excess demand for fruit at the maximum…

  27. AS Paper 1, June 2023, Q18

    The income elasticity of demand for cheese sandwiches is –1.2. This means that cheese sandwiches

  28. A-level Paper 3, June 2022, Q8

    Figure 3 shows the demand curve for a firm’s scarves. Figure 3 Which one of the following statements is true when the price of scarves is reduced from £30 to £25?

  29. A-level Paper 3, June 2022, Q14

    Which one of the following is a reason why the supply of cars is likely to be price elastic in the short run when the price of cars increases?

  30. AS Paper 1, June 2022, Q2

    A fast food restaurant is willing to supply 3000 burgers a week at a market price of £5 a burger. The price elasticity of supply of burgers is 2. If the market price falls to £4 a burger, the number of burgers that the restaurant will be…

  31. AS Paper 1, June 2022, Q10

    The demand for cocoa is derived from the demand for chocolate. When the demand for chocolate falls, the most likely result is a

  32. AS Paper 1, June 2022, Q12

    Figure 2 shows supply and demand in the market for beef. D1 shows the initial demand and S1 the initial supply curve. Figure 2 Which one of the following combinations of events would be most likely to cause demand to shift from D1 to D2…

  33. AS Paper 1, June 2022, Q17

    The cross elasticity of demand for chips with respect to the price of rice is positive. It can be concluded that chips and rice are

  34. AS Paper 1, June 2022, Q19

    A shift left in the supply curve causes a market to be in disequilibrium at the original market price because

  35. A-level Paper 3, November 2021, Q24

    Figure 8 shows two demand (D1 and D2) curves and two supply (S1 and S2) curves in the market for tea. Figure 8 Tea and coffee are substitutes. All other things being equal, which one of the following is the most likely explanation of the…

  36. A-level Paper 3, November 2020, Q15

    Figure 4 shows a firm’s demand (D) curve and its marginal revenue (MR) curve for good X. The firm initially sells OQ1 units of X per day at a price of OP1. Figure 4 If the firm increases its price by 10%

  37. A-level Paper 3, November 2020, Q17

    Table 3 shows the demand for and supply of oranges at a range of prices between 10 pence and 30 pence. Table 3 Quantity Quantity Price (pence) supplied demanded (000s) (000s) 10 100 125 15 120 120 20 122 108 25 125 100 30 128 As a result…

  38. AS Paper 1, June 2020, Q2

    Figure 1 shows demand (D) and supply (S) in the market for electric cars. Demand is initially at D1 and supply at S1. Figure 1 Other things remaining the same, which one of the following combination of events could have caused demand to…

  39. AS Paper 1, June 2020, Q4

    Table 1 shows the prices and quantities of rice and pasta sold in a supermarket in one month. Table 1 Quantity of rice Quantity of pasta Price of rice Price of pasta (000s packets) (000s packets) £2.00 100 £1.50 £2.25 80 £1.50 When the…

  40. AS Paper 1, June 2020, Q8

    In the market for apples, at the current market price of £3 per kilo, consumers buy 5000 kilos and farmers produce 6000 kilos each week. It can be concluded that

  41. AS Paper 1, June 2020, Q10

    Which one of the following statements about price elasticity of supply is correct? Price elasticity of supply

  42. AS Paper 1, June 2020, Q13

    A firm producing frozen foods has collected statistics on recent trends in sales of oven chips, as shown in Table 3. Table 3 Average real income of Average number of bags of oven chips Year customers sold per week (2018 prices) 2018 7800…

  43. AS Paper 1, June 2020, Q15

    Land is in composite demand and can be used to build houses or to provide playing fields. When the demand for playing fields increases, there will be

  44. AS Paper 1, June 2020, Q17

    The production of a good generates positive externalities. This means that at the free market equilibrium

  45. A-level Paper 3, June 2019, Q22

    Beef and leather are in joint supply. Changes in farming methods have resulted in a significant fall in the price of chicken, a substitute for beef. All other things being equal, which one of the following diagrams, A, B, C, or D, best…

  46. A-level Paper 3, June 2019, Q29

    The diagram below shows two market demand curves (D1 and D2) and the market supply curve (S), for Good X. The price elasticity of supply of Good X when the demand curve shifts from D1 to D2 is

  47. AS Paper 1, June 2019, Q2

    A rise in the price of blueberries from £8 to £10 per kg encourages growers to increase their supply from 12 kg to 21 kg each week. Other things remaining the same, this suggests that the price elasticity of supply for blueberries is

  48. AS Paper 1, June 2019, Q6

    The market for crab sandwiches experiences an increase in the price and an increase in the output of crab sandwiches. Which of the following combinations of events is the only one that could have caused these changes?

  49. AS Paper 1, June 2019, Q11

    A clothes retailer has experimented with changing the prices of various items of clothing sold in their shop. The table below shows the different prices per item in 2 years. Year 1 Year 2 Socks £6 £8 T-shirts £15 £11 Trainers £40 £42…

  50. AS Paper 1, June 2019, Q13

    A pizza takeaway raises the price of its pizzas by 5%, resulting in a 10% fall in demand for their pizzas. Also, the next-door fish and chip shop sees the demand for its food rise by 10%. Which one of the following combinations of…

  51. AS Paper 1, June 2019, Q16

    The following diagram shows demand and supply in the market for roses. The demand for roses shifts from D1 to D2. Other things remaining the same, it can be concluded that

  52. A-level Paper 3, June 2018, Q8

    The price of good Y, a substitute for good X, rises from 75p to £1. As a result, the quantity of demand for good X rises from 3 million units to 5 million units per month. What is the value of the cross elasticity of demand for good X with…

  53. A-level Paper 3, June 2018, Q11

    At the initial market equilibrium, the income elasticity of demand for fresh chickens is +1.5, and the price elasticity of supply is +1.0. Then there is a 5% increase in consumers’ income. Which one of the following combinations, A, B, C…

  54. AS Paper 1, June 2018, Q3

    The price elasticity of demand (PED) for petrol used by car drivers in an economy is estimated to be –0.2. Which one of the following is the most likely reason for the low PED?

  55. AS Paper 1, June 2018, Q4

    The diagram below shows the demand curve (D) and the supply curve (S) in the market for tomatoes. Which one of the following would result in a higher quantity consumed and a lower price charged for tomatoes?

  56. AS Paper 1, June 2018, Q10

    The income elasticity of demand for baked beans is –0.4. Weekly sales of baked beans are 73 000 tins. If household incomes fall by 5%, then the new weekly sales of baked bean tins would be

  57. AS Paper 1, June 2018, Q11

    There is a large increase in the number of different models of bicycles produced by the bicycle industry. The most likely impact of this would be

  58. AS Paper 1, June 2018, Q15

    The diagrams below show the impact of an increase in demand for good G and the resulting change in the related market for good H. These changes imply that goods G and H are in

  59. AS Paper 1, June 2018, Q20

    Online clothes retailers invest in new warehouses to enable them to hold larger stocks of clothes. Other things remaining the same, this is most likely to result in

  60. A-level Paper 3, June 2017, Q10

    The diagram below shows the demand curves (D1 and D2) and the supply curve (S) in the market for good X. The initial market equilibrium is at E1. The increase in market demand from D1 to D2 results in a new market equilibrium at E2. The…

  61. A-level Paper 3, June 2017, Q30

    The price elasticity of demand for games consoles is -1.2. It can be concluded that a 10% reduction in their price would lead to a percentage change in demand of

  62. AS Paper 1, June 2017, Q4

    Which one of the following gives a positive value for the cross elasticity of demand?

  63. AS Paper 1, June 2017, Q5

    The following diagram shows the impact of a government subsidy for recycling waste which shifts the supply curve from S1 to S2. Which one of the following areas measures the cost of the government subsidy?

  64. AS Paper 1, June 2017, Q7

    The table below shows the quantities of sandwiches that would be demanded and supplied at different prices. Quantity demanded Quantity supplied Price of sandwich per day per day £2.25 310 190 £2.50 280 280 £2.75 220 300 £3.00 180 320…

  65. AS Paper 1, June 2017, Q11

    The equilibrium market price of a good increases. The establishment of the new equilibrium at a higher price would most likely result from

  66. AS Paper 1, June 2017, Q12

    The diagram below shows the demand and supply curves for new houses. The initial demand and supply are D1 and S1. Other things being equal, which one of the following combination of events is most likely to cause demand and supply to shift…

  67. AS Paper 1, June 2017, Q14

    A supermarket has estimated values of the income elasticity of demand for some of its products as shown in the table below. Product Income elasticity of demand Fruit 0.30 Cheese 0.20 Milk 0.10 Eggs 0.01 If incomes increase by 5%, for which…

  68. AS Paper 1, June 2017, Q17

    The diagram below shows the original market demand (D1) and supply (S) curves for fresh strawberries. A decrease in the demand for fresh strawberries shifts the demand curve from D1 to D2. From the above diagram, it can be concluded that…

  69. AS Paper 1, June 2017, Q18

    The supply and demand curves for a good in a free market are S1 and D1. If the good generates negative externalities in production but positive externalities in consumption, which intersection, A, B, C or D, could represent the socially…

  70. AS Paper 1, June 2016, Q3

    A demand curve is drawn on the assumption that

  71. AS Paper 1, June 2016, Q5

    The cross elasticity of demand between goods X and Y is positive. This implies that they are

  72. AS Paper 1, June 2016, Q6

    Many agricultural products are subject to large fluctuations in price. One reason why these large fluctuations occur is because the

  73. AS Paper 1, June 2016, Q7

    A good has a price elasticity of supply of +0.8. At present, the quantity supplied of the good is 200 units per week at a market price of £800 per unit. If the price rises to £1000 per unit then the quantity supplied per week would

  74. AS Paper 1, June 2016, Q15

    The elasticity of supply of a particular good is more likely to be low

  75. AS Paper 1, June 2016, Q17

    An increase in the world market price of wheat, following a series of poor harvests, leading to falling sales is an example of

  76. A-level Paper 3, Specimen, Q6

    The diagram below shows the market demand and supply curves for electric light bulbs. Assuming that electric light bulbs are a normal good, the shift in the demand curve from D 1 to D 2 and the rise in the equilibrium price from P 1 and P…

  77. A-level Paper 3, Specimen, Q16

    If the price elasticity of supply of a good is +4.0 and its price increases by 10%, the increase in quantity supplied is

  78. AS Paper 1, Specimen, Q2

    The diagram below shows two demand curves for frozen peas. The diagram shows that, all other things being equal, the shift of the demand curve for frozen peas from D 1 to D 2 can result from

  79. AS Paper 1, Specimen, Q5

    If demand for a product is unit elastic, for a given percentage increase in price, total revenue will

  80. AS Paper 1, Specimen, Q9

    A supermarket reduces the price of tins of biscuits from £4 to £3 per tin. Subsequently, the sales increase from 200 to 300 tins of biscuits per day. The price elasticity of demand is

  81. AS Paper 1, Specimen, Q11

    The table below shows the value of income elasticities of demand for three goods, X, Y and Z, over a period of time. Income elasticity of Good demand X +2.0 Y +0.2 Z -1.9 From the data in the table, it may be concluded that an increase in…

  82. AS Paper 1, Specimen, Q13

    Price elasticity of supply in an industry is likely to be elastic when

  83. AS Paper 1, Specimen, Q17

    The diagram below shows the demand and supply curves for an energy company which sells electricity produced using renewable sources. Which one of the following will shift the market equilibrium position from X to Y?

Question text is quoted from the question papers, © AQA, for students’ private study. Open the official papers and mark schemes from the links on each question. Examiner insights are written with AI assistance and moderated by Finn.