Which of the following are limitations to growth?

Low barriers to entry, Diseconomies of scale

What is a social cost?

The cost of an economic activity to society as well as firms

What are diseconomies of scale?

Rising average costs when a firm gets too big

How is labour productivity calculated?

Total output/ number of workers

What does minimum efficient scale mean?

Falling average costs due to expansion

The definition of Income elasticity is?

The responsiveness of demand to a change in income

What are financial services?

How banks are using more machines to increase productivity

What is backwards vertical integration?

Merging with a firm in previous stage of production

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IGCSE Edexcel Economics Section A & Section B

20 termsStudBud Administration171 plays

Student created questions for students to use to help revise for an assessment on Section A and Section B part 1 and 2.

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Questions 20

Answers

1
What causes a movement along the demand and supply curve?
Natural factors
Easy entry in to a market
A change in price
Price of substitutes
2
Which of these factors affect supply?
Population
Advertising
Price of other goods
Income
3
Name one factor that can increase land productivity.
Motivating Workers
Genetically Modified Crops
Economies of Scale
Retailing
4
Which of the following are limitations to growth?
Low barriers to entry
High barriers to entry
Diseconomies of scale
Economies of scale
5
Which of the following is an example of an external economy of scale?
Technical
Skilled labour
Risk bearing
Financial
6
A change in technology would cause what to move where?
demand curve to shift left
supply curve to shift left
demand curve to shift right
supply curve to shift right
7
What is a social cost?
The benefit of an economic activity to an individual or firm
The cost of an economic activity to society as well as firms
The rewards to an individual or firm
The cost of an economic activity to an individual or firm
8
What are diseconomies of scale?
Falling average costs when a firm gets too small
Rising average costs when a firm gets too small
Rising average costs when a firm gets too big
Falling average costs when a firm gets too big
9
How do government deal with externalities?
Taxation
All of these
Subsidies
Fines
10
Which of these factors affect demand?
Tastes and Fashion
Changes in technology
Natural Disasters
Price
11
How is labour productivity calculated?
Quantity produced/ total costs
Number of workers/ total output
Total output/ number of workers
Total costs/ quantity produced
12
What does MES stand for?
Minimum economies of scale
Maximum efficient scale
Minimum efficient scale
Maximum economies of scale
13
If a product is price elastic, a decrease in price will do what to total revenue?
Total revenue will stay the same
Total revenue will rise
Total revenue will fall
I don't know
14
What does minimum efficient scale mean?
Falling total costs due to expansion
Falling average costs due to expansion
Rising total costs due to expansion
Rising average costs due to expansion
15
The demand curve of a perfectly elastic product is what shape?
Horizontal
Vertical
16
The definition of Income elasticity is?
The responsiveness of demand to a change in elastic
The responsiveness of demand to a change in income
The responsiveness of demand to a change in price
The responsiveness of demand to a change in supply
17
What are financial services?
How technological advances have helped us
How banks are using more machines to increase productivity
How changing the factory layout will help productivity
How machines are used in stores to increase productivity
18
Which is an example of a positive externality?
Congestion
Population Increase
Job creation
Pollution
19
How can labour productivity be improved?
Motivating Workers
Economies of Scale
Genetically modified crops
Retailing
20
What is backwards vertical integration?
Two firms in the same line of business merging
Merging with a firm in previous stage of production
Merging with a firm in the next stage of production
Two firms merging that make similar goods, not competitors

IGCSE Edexcel Economics Section A & Section B Flashcards | StudBud