IX IG - Eco - Final Sample - 23-24 - Component 1
IX IG - Eco - Final Sample - 23-24 - Component 1
IX IG - Eco - Final Sample - 23-24 - Component 1
Class - IX IGCSE
Name: Date:
Instructions:
● Answer all questions
Total Pages: 8
1
1.What could cause a shift of the demand curve fromD1 to D2?
2 . An airline needs people and equipment. These canbe divided into factors of production.
What is allocated to its correct factor of production?
3.The diagram shows a country’s production possibilitycurve for rice and wheat
. P to Q
A
B. Q to R
C. R to S
D. S to P
2
5.What is an example of market failure?
6 .An oil company announced in 2019 that it was startingits drilling operations for oil
deposits in the Arctic Ocean. What will be the effect of this?
9 .What is an example of an external benefit froman individual cycling, rather than driving,
to work?
3
10.Which organisations can directly fund the growth of firms?
. diamonds
A
B. foreign currency
C. petrol (fuel)
D. washing machines
1 2.A country’s central bank raised the rate of interestfrom 1% to 4% per year. How would
this change have affected the amount saved and the cost of borrowing by individuals?
13.A country raises the school leaving age from 15to 17 years.
hat is the opportunity cost of this increased period of school education to the young people
W
affected?
1 4.A company produces an electric car that can bedriven much further than other electric
cars without needing recharging. The car does not emit the dangerous fumes that petrol cars
do. The batteries that power the car are very expensive and the company is building a huge
factory to produce batteries more cheaply.
4
1 5.The table shows the information that managers of a company have from a week of
business activity.
Assuming there are no other costs, what is the value of the fixed costs?
. $300
A
B. $10000
C. $20000
D. $30000
1 7. In 2015, a large UK company attempted to acquirea rival US medical company to
become the world’s leading supplier. Both companies specialised in the manufacture of
medicines for treating rare diseases.
1 8.A company mining cobalt, invests in machineryto replace some workers. Eventually
diseconomies of scale occur. What could cause this situation?
5
19.Which market is likely to be the most competitive?
2 0.A major highway has been built at a cost of US$175million between Nairobi, Kenya and
its suburbs. This reduces travel time and increases safety, but there are environmental
problems for small enterprises along its route.
22.The table shows the demand and supply for spicesin a market in Africa.
hen the price rises from US$20 to US$30 per kg, what is the price elasticity of demand
W
(PED) for spices?
. 0.25
A
B. 0.5
C. 1.0
D. 2.0
6
23. In which occupation would wages tend to increase?
2 4.Which form of production would be least likelyto have the advantages of economies of
scale?
. car manufacturing
A
B. commercial cereal farming
C. handmade jewellery
D. refining of oil products
2 6.A major computer company announced that its profitshad fallen below the level
predicted. What might have caused this?
2 8. What would put a trade union in a strong bargainingposition to negotiate higher wages
for its members in a particular firm?
. The demand for the product produced by the workers has an inelastic demand.
A
B. The economy is experiencing high unemployment.
C. The proportion of the firm’s workers in the union is low.
D. Wage costs are a high proportion of total costs for firms in the industry.
7
2 9.Which change will make a manufacturing company replace machines with labour to
maintain the most efficient combination of factors of production?
8