**********OFFICIAL OCR ECONOMICS F581 13th MAY 2014 THREAD************

I wrote that since YED is inelastic and positive(0.2), a 10% increase in consumers real income would lead to a 2% increase in the demand for that good. This shows that it is a normal good. If YED was negative however, then demand would fall by 2%

We need to ask Mr E I hope you're right 3 marks resting on it... surely they are as advertising causes tastes and fashion.

That Chinese externality question was weird.

Yeah i accidentally said it was an inferior good :/ lol

Posted from TSR Mobile

Do u rmb how many mark for that question? I think I've done the calculation incorrectly


Posted from TSR Mobile

2 marks for the calculation, and 3 marks for what this figure suggests or something. Pretty sure yed was +0.2

Posted from TSR Mobile

2 marks for the calculation, and 3 marks for what this figure suggests or something. Pretty sure yed was +0.2

Posted from TSR Mobile

I shifted demand instead of demand and supply how many marks out of 6 would I get?

I think it was 6 or 8.

I hope it's 6. Yea, it should have been 0.2 it's my mistake. I feel so silly now. I shouldn't have made such a lame mistake really.


Posted from TSR Mobile

Hmmm, i think you would lose a chunk of the marks as you would need to say what this does to the market. I'd say around 2/6 or 3/6

Posted from TSR Mobile

I hope it's 6. Yea, it should have been 0.2 it's my mistake. I feel so silly now. I shouldn't have made such a lame mistake really.


Posted from TSR Mobile

Hmmm, i think you would lose a chunk of the marks as you would need to say what this does to the market. I'd say around 2/6 or 3/6

Posted from TSR Mobile

What about for the specialisation question saying that the firm couldn't access all their market because of only concentrating on a few products?- disadvantage