IGCSE Economic chapter 1 — 19

Which of the following in NOT a free good?

• Sunlight

• Fresh air

• Seafood

• Ice Cream

Select all public sector

• Fire service

• Gas and oil

• Postal service

• Decorations service

Who do you think have relatively more Barging Power than others?

• An individual

• A group of doctors

• A group of nomadic

• A group of stray workers

What does it means when a company has a 0.7 elasticity of demand?

• Unit elasticity

• An inelastic demand

• And elastic demand

• Perfectly inelastic demand

What can cause increase in savings?

• Fall in income tax

• Reduction in wealth

• Rise in nominal GDP

• Rise in interest rate

True or False? A daisy flower will likely to be demand inelastic

• True

• False

Who make the major decisions in a Planned Market System?

• Households

• Individuals

• The government

• Firms

What could cause a Market Failure?

• Free riders

• Inflation

• The involvement of a third party

• Fall of the interest rate

In a Production Possibility Curve, what point is the most efficient?

• The one along the curve and inside the curve

• Outside of the curve

• Any point on the graph

• Along the curve only

The most important function of money is grow interests in banks

• Ture

• False