ECONOMICS PAPER1 !!!!!!!!!!!!!!

[Hassi123]

Im panicking right now, economics p12 tomorrow, can someone please solve these questions and till me the logic to it!
http://www.xtremepapers.com/papers/... AS Level/Economics (9708)/9708_w11_qp_11.pdf Q1, Q7, Q11

http://www.xtremepapers.com/papers/...d AS Level/Economics (9708)/9708_w06_qp_1.pdf Q10, Q11

http://www.xtremepapers.com/papers/...d AS Level/Economics (9708)/9708_s06_qp_1.pdf Q1, Q7

PLEASE HELP!!!!! THANKS A MILLLION

 

[Hassan Javed]

N11/Q1. C- a rise in unemployment due to a recession because there is a point inside the PPC. It means resources are available but they are not fully employed. when they will be fully employed then economy with operate along the PPC
Q.7 D. increase in wages will shift the supply curve to the left. But change in consumer preferences will shift the demand curve while there will be movement along the same supply curve. You may draw an equilibrium graph then shift the demand curve to the right or left you will see that equilibrium has changed and the movement from initial equilbrium and new equilibrium is movement along the same supply curve.
Q.11 D The price elasticity of supply of all three curves will be the same because every straight line supply curve starting from origin point has same elasticity that is equal to 1 always.
Qamar Baloch (+92) 3217555550. you may join me on skype to discuss your problems. Or send your request on facebook. [email protected]

 

[Hassan Javed]

w06. 10-B Perishable goods like vegetables, fruit and milk etc cannot be stocked for longer period of time. So, these will have low price elasticity of supply (i-e PES<I).
11-C Shortage of coffee will increase demand for tea. So demand curve for tea will shift to the right from D1 to D2. New equilibrium will be at the intersection of D2 and S1.

 

[Hassan Javed]

S 06. 1-D Opportunity cost of current consumption is capital and we know that cost of capital is interest. So, increase in interest rates will lead to increasein opportunity cost of current consumption
7-B Unitary elastic demand (=1), shows that change in price will leave total revenue unchanged. On this assumption we can find out price. Initially TR = Price multiply by quantity= 12 multiply by 4000 = 48000. Now quantity = 20000 and we know that TR will remain the same i.e. 48000. Put the value in following formula;






TR = P × Q
48000 = (20,000) P
20,000P = 48000