i did something different or the 25 marker .. i mainly talked about how income inequality creates has negative exteralities
and how monoplies and top 20% have the main influence on prices and effecting th e socieety and the low 20% income earners .. didnt metion anything abou gambling

Reply 444

aliace

anddd i just talk about market failure and how the govt .. corrects it and regulates monpolies .. or did i miss the whole question :eek:

Reply 445

Ryan_MUFC

Original post by RJM1997

Starting to get a little bit worried about the 12 marker on context 1, this is what I did:
Defined scarce resources and market economy.
Drew a diagram shifting supply to the left, showing a contraction of demand, but also put in Qsupplied at P1 after the shift.

My explanation was: For example, if there is a flood which wipes out some of a firms supply, supply will shift left as they cannot sell damaged goods. However if price stays at P1 there is a shortage, this causes firms to put up the price in order to maintain profit. Consumers respond to this price signal by contracting demand Q2>Q1 by switching to substitutes or not consuming. This means that now only people willing to pay the new price P2 will get the good, those only willing to pay P1 will go without, therefore allocating resources to those who are willing to pay for it.

What do you think I'll get?

This is similar to what I wrote. I didn't mention substitutes, but I mentioned that consumers won't consume as much of that good to minimise their welfare loss and that the rationing function would take place because some people wouldn't be able to pay the new higher price. Let's hope we get the marks :smile:

Reply 446

legolas_09

Guys I did context 1 and for my 25 mark I talked about why governments should intervene - referred to gambling as a demerit good and talked about negative externalities. I said its market failure and then explained how monopolies were able to charge high prices due to a lack of competition and talked about how resources were not allocate efficiently as P>MC. I then suggested that government could enforce price capping , so a maximum price could be applied. For my second para , i talked about how free market will readjust , so said in the future people will become more aware of the negative effects on gambling. Also said , monopolies can exploit economies of scale - feed through low prices for consumers - therefore govt doesnt have to intervene. For my conc , I said to protect consumer welfare govt should intervene but could result in opp cost.

what mark would i roughly get? :// :s-smilie:

Reply 447

ridirahman

Original post by BBeyond

This is an example of a market/price mechanism diagram, you can do it as well with excess demand

I shifted demand to the right and showed excess demand. Is that right?

Reply 448

BBeyond

Unofficial M/C markscheme: (I may be wrong pls don't bite my head off)

1)B 2)A 3)C 4)C 5)B 6)B 7)D 8)D 9)D 10)D 11)C 12)A 13)B 14)A 15)C 16)B 17)C 18)C 19)A 20)C 21)C 22)A 23)B 24)A 25)D

hope this helps everyone will have sat the exam by now

(edited 8 years ago)

Reply 449

BBeyond

Original post by ridirahman

I shifted demand to the right and showed excess demand. Is that right?

no idea tbh

Reply 450

ridirahman

Original post by BBeyond

Unofficial M/C markscheme: (I may be wrong pls don't bite my head off)

1)B 2)A 3)C 4)C 5)B 6)B 7)D 8)D 9)D 10)D 11)C 12)A 13)B 14)A 15)C 16)B 17)C 18)C 19)A 20)C 21)C 22)A 23)B 24)A or C? IDK which tbh 25)D

hope this helps everyone will have sat the exam by now

how about the q. paper?

Reply 451

BBeyond

Original post by ridirahman

how about the q. paper?

cba to post it

Reply 452

Crozzer24

Original post by BBeyond

What did you get based on that? I got 22/25 but really dissapointed as I read 2 questions wrong so I put the wrong answer

Reply 453

BBeyond

Original post by Crozzer24

What did you get based on that? I got 22/25 but really dissapointed as I read 2 questions wrong so I put the wrong answer

24 thought i'd got 25 but i also misread a question :frown:

Reply 454

Wawasan

Original post by BBeyond

24 thought i'd got 25 but i also misread a question :frown:

What do you think the answer to productive innefficiency is now? Just curious, I know!

Reply 455

BBeyond

Original post by Wawasan

What do you think the answer to productive innefficiency is now? Just curious, I know!

think you were right, A!

Reply 456

Kiranjott

For context 1, the 12 marker.. I drew a diagram with just the demand curve. So it looks like the monopoly diagram? Is that correct? I talked about the price mechanism. The signalling & rationing function.

Reply 457

econam

Original post by BBeyond

This is an example of a market/price mechanism diagram, you can do it as well with excess demand

That's the diagram I used for the 12 marker from context 1. Were you meant to draw a shift in either supply or demand?

Reply 458

BBeyond

Original post by econam

That's the diagram I used for the 12 marker from context 1. Were you meant to draw a shift in either supply or demand?

That's what a lot of people did, but tbh I think we did the right thing.

Reply 459

Crozzer24

Original post by BBeyond

24 thought i'd got 25 but i also misread a question :frown:

Was it the income elasticity of demand one with the table or the biggest change in price when subisidised? I read both of them wrong and put price Inelastic and then infinity as I assumed it meant for supply not demand :frown: