1 mark
Q1 After Turkish carrier AtlasGlobal folded in 2020, identify the short-run shutdown condition for a firm (AR = AC / AR below MR / AR below AVC / AR = MC)
Edexcel · 9EC0 / 8EC0 / WEC11–14
All 14 questions from the Edexcel International A Level Unit 3, Jan 2022 Economics paper (9EC0 / 8EC0 / WEC11–14), worth 100 marks in total. The main topics tested are Profits and losses (2), Growth of firms (2), Monopolistic competition (1), Revenue (1).
Each question is summarised in our own words with its mark tariff, command word and specification point, and links through to the official paper.
Question paper → Mark scheme → Examiner report → Open in the searchable bank →
Q1 After Turkish carrier AtlasGlobal folded in 2020, identify the short-run shutdown condition for a firm (AR = AC / AR below MR / AR below AVC / AR = MC)
Q2 From the short-run cost and revenue diagram of a monopolistically competitive Mumbai hairdresser, state what output Q1 implies for profit, revenue and average cost.
Q3 Using a table of Netflix international subscribers and total revenue for Q4 2017 to Q4 2020, calculate average revenue and identify the correct figure.
Q4 American Airlines' revenue fell from $45.77bn to $17.34bn in 2020 and it made 31 000 staff redundant. Identify the most likely reason. (more passengers / derived demand for labour fell / higher employment subsidies / lower taxation on employees)
Q5 Using a labour market diagram for British Columbia's 2021 minimum wage rise from $14.60 to $15.20, identify the most likely impact on retail shop assistants.
Q6 For a small Namibian fruit farm in perfect competition in long-run equilibrium, identify the correct combination of allocative efficiency and profit.
Q7(a) Work out the four-firm concentration ratio in America's 2019 car market from Figure 1.
Q7(b) Explain the meaning of horizontal integration as it appears in Extract A.
Q7(c) Analyse, from Extract A, two obstacles to Stellantis winning a bigger share of the Chinese market.
Q7(d) Examine how rising car sales in the USA would affect Stellantis profits, using Extract A and a suitable diagram.
Q7(e) Discuss what the PSA Group-Fiat Chrysler merger could mean for employees and customers, using the extracts plus wider reading.
Q10 Assess, with diagrams, whether firms invariably put revenue maximisation first, given meat processor JBS saw Chinese sales revenue climb 60% in Q4 2020.
Q8 Assess what firms stand to gain from colluding, illustrated by a basic game theory model, after three UK drug makers were each fined £1.2 million in 2020.
Q9 Assess, with suitable diagrams, how governments can curb monopoly power, given New Zealand's 2019 water price cap squeezed the profits needed for investment.
About this page. Each question is described in our own words — a short summary of what it asks, never the examiner’s wording. No exam paper text, extract, figure or table is reproduced. The links go to the awarding body’s own question paper, mark scheme and examiner report, published free by Pearson and AQA. Specification codes and topic labels are our own classification.
Built and checked by an experienced economics tutor. Not a Pearson or AQA service and not endorsed by either board. © The Economics Tutor · theeconomicstutor.co.uk