UNIT ASSESSMENT
Edexcel A Level
Economics (A)
Unit Assessment
3.6 Government Intervention
(Edition 1)
Time: 70 minutes
Maximum marks: 50
Name
Centre Name
, Edexcel A Level Economics (A)
Unit Assessment – 3.6 Government Intervention
Section A
ANSWER ALL THE QUESTIONS
1a Which of these would NOT be a method of increasing competition in a market?
A Regulation of mergers to prevent monopoly power o
B Legislation to prevent collusion between suppliers o
C Introducing minimum prices for a product or service o
D Prevention of predatory pricing by suppliers o
(1 mark)
1b The purpose of RPI + K price regulation, for a utility such as water provision, is to:
A ensure that water companies have funds to invest in new facilities o
B keep price rises below the rate of inflation o
C promote the external benefits of clean water supply o
D help promote competition between natural monopolies o
(1 mark)
1c Explain one reason why the Competition and Markets Authority may not allow a merger between two
cinema chains to go ahead.
(4 marks)
Page 2 Edexcel A Level Economics (A) Unit Assessment www.tutor2u.net/economics
Edexcel A Level
Economics (A)
Unit Assessment
3.6 Government Intervention
(Edition 1)
Time: 70 minutes
Maximum marks: 50
Name
Centre Name
, Edexcel A Level Economics (A)
Unit Assessment – 3.6 Government Intervention
Section A
ANSWER ALL THE QUESTIONS
1a Which of these would NOT be a method of increasing competition in a market?
A Regulation of mergers to prevent monopoly power o
B Legislation to prevent collusion between suppliers o
C Introducing minimum prices for a product or service o
D Prevention of predatory pricing by suppliers o
(1 mark)
1b The purpose of RPI + K price regulation, for a utility such as water provision, is to:
A ensure that water companies have funds to invest in new facilities o
B keep price rises below the rate of inflation o
C promote the external benefits of clean water supply o
D help promote competition between natural monopolies o
(1 mark)
1c Explain one reason why the Competition and Markets Authority may not allow a merger between two
cinema chains to go ahead.
(4 marks)
Page 2 Edexcel A Level Economics (A) Unit Assessment www.tutor2u.net/economics
