A Level Economics (AQA) Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Tragedy of the commons
Answer:
the over-use or exploitation of resources such as the oceans, the
forests or the atmosphere that are not owned by individuals or organisations.
Transmission mechanism: how a change in policy actually works its ways through
the economy
to affect macroeconomic indicators
Q: Treasury bill
Answer:
a very short-term form of borrowing by the government, usually repaid within
three months
Q: Trend growth
Answer:
the rate of growth in LRAS over time, representing the maximum potential
capacity of the UK economy
, A Level Economics (AQA) Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Trickle-down
Answer:
a free market view that poorer members of society will benefit from high
earners and the relatively wealthy, e.g through job opportunities and helping to fund
merit
goods
Q: Unemployment rate
Answer:
the number of unemployed people expressed as a percentage of the
current labour force
Q: Unemployment
Answer:
those of working age who are currently out of work but are actively seeking
work
, A Level Economics (AQA) Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Unit tax
Answer:
a tax where a fixed amount is placed on the item sold
Q: Utility
Answer:
the amount of satisfaction or benefit that a consumer gains from consuming a good
or service
Q: Variable costs
Answer:
costs of production that vary with the level of output
Q: Velocity of circulation
Answer:
the rate at which money circulates around the economy - i.e how
many times the same banknote is used over a period of time
, A Level Economics (AQA) Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Vertical equity
Answer:
where the tax paid is based on the ability to pay
Q: Voluntary unemployment
Answer:
where people are unwilling to accept a job at the going wage rate
despite there being jobs available
Q: Wage differentials
Answer:
differences in wages arising between individuals, occupations, industries
and regions
Q: Wage rigidity
Answer:
the situation where wages are sticky and do not fall in line with falling prices
Solutions | Latest 2026 Update
Q: Tragedy of the commons
Answer:
the over-use or exploitation of resources such as the oceans, the
forests or the atmosphere that are not owned by individuals or organisations.
Transmission mechanism: how a change in policy actually works its ways through
the economy
to affect macroeconomic indicators
Q: Treasury bill
Answer:
a very short-term form of borrowing by the government, usually repaid within
three months
Q: Trend growth
Answer:
the rate of growth in LRAS over time, representing the maximum potential
capacity of the UK economy
, A Level Economics (AQA) Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Trickle-down
Answer:
a free market view that poorer members of society will benefit from high
earners and the relatively wealthy, e.g through job opportunities and helping to fund
merit
goods
Q: Unemployment rate
Answer:
the number of unemployed people expressed as a percentage of the
current labour force
Q: Unemployment
Answer:
those of working age who are currently out of work but are actively seeking
work
, A Level Economics (AQA) Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Unit tax
Answer:
a tax where a fixed amount is placed on the item sold
Q: Utility
Answer:
the amount of satisfaction or benefit that a consumer gains from consuming a good
or service
Q: Variable costs
Answer:
costs of production that vary with the level of output
Q: Velocity of circulation
Answer:
the rate at which money circulates around the economy - i.e how
many times the same banknote is used over a period of time
, A Level Economics (AQA) Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Vertical equity
Answer:
where the tax paid is based on the ability to pay
Q: Voluntary unemployment
Answer:
where people are unwilling to accept a job at the going wage rate
despite there being jobs available
Q: Wage differentials
Answer:
differences in wages arising between individuals, occupations, industries
and regions
Q: Wage rigidity
Answer:
the situation where wages are sticky and do not fall in line with falling prices
