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Economics (A) 8EC0/01 May June 2019

Economics (A) 8EC0/01 May June 2019

1. Division of Labour and Productivity – Analysis of how specialization in car production, as introduced by Henry Ford, increases efficiency.

2. Externalities and Diesel Vehicle Bans – Evaluation of the impact of diesel vehicle bans on consumer surplus and complementary goods like diesel fuel.

3. Elasticity of Demand and Cinema Ticket Pricing – Calculation of total revenue change when cinema ticket prices increase, given price elasticity data.

4. Taxation and Household Energy Bills – Assessment of the effects of VAT on household energy costs and market supply.

5. Income Elasticity of Demand for Children′s Goods – Calculation of the impact of changes in children′s pocket money on the demand for Freddo chocolate.

6. Government Intervention in Health Care – Discussion on the role of state funding and private insurance in reducing NHS demand.

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