Complete Microeconomics GCSE Questions with Correct Answers (100% Accurate)

Economic Problem Correct Answer Unlimited wants and scarce resources 4 Factors of Production Correct Answer Land, Labour, Capital, Entrepreneurship 3 Economic Agents Correct Answer Households, Firms, Government Opportunity Cost Correct Answer The next best alternative foregone Market Correct Answer A set of arrangements that allows trade to take place Specialisation Correct Answer The concentration by a worker, firm or economy on a narrow range of goods and services Division of Labour Correct Answer The specialisation of labour where the production process is broken down into separate tasks Market Economy Correct Answer Economic system whereby resources are allocated through the market forces of demand and supply planned Economy Correct Answer Economic system in which most resources are state owned and also allocated centrally Mixed Economy Correct Answer Economic system in which resources are allocated through a mixture of the market and direct public sector involvement Demand Correct Answer The quantity of a product that consumers are willing and able to purchase at various prices over a period of time Effective Demand Correct Answer Willingness and ability to buy a product Change in Demand Correct Answer A change in a non-price factor leads to an increase or decrease in the demand for a product Supply Correct Answer The quantity of a product that producers are willing and able to provide at different market prices over a period of time Profit Correct Answer The difference between total revenue and total cost Change in Supply Correct Answer Occurs when a change in a non-price influence leads to an increase or a decrease in the willingness of a producer to supply a product