Micro economics Definitions AQA A level Economics Questions and Answers with Verified Solutions | Latest 2026 Update

Micro economics Definitions AQA A level Economics Questions and
Answers with Verified Solutions | Latest 2026 Update




Q: Disequilibrium

Answer:
a combination of price and quantity traded which has a tendency to change
for given demand and supply conditions

Q: joint demand

Answer:
When the demand for one product increases the demand for another.

Q: Joint supply

Answer:
when one good is produced, another good is also produced from the same raw
materials

,Micro economics Definitions AQA A level Economics Questions and
Answers with Verified Solutions | Latest 2026 Update




Q: derived demand

Answer:
demand for a product which is demanded only because of demand for final
;product it contributes to

Q: composite demand

Answer:
Where a good is demanded for two or more separate uses

Q: price elasticity of demand

Answer:
the responsiveness of quantity demanded to a change in price

Q: PED =

Answer:
% change in quantity demanded / % change in price

, Micro economics Definitions AQA A level Economics Questions and
Answers with Verified Solutions | Latest 2026 Update




Q: If PED is greater than 1 (ignore minus) demand is

Answer:
relatively elastic

Q: If PED less than 1 (ignore minus) demand is

Answer:
relatively inelastic

Q: income elasticity of demand

Answer:
The responsiveness of demand to a change in income

Q: YED

Answer:
% change in quantity demanded / % change in income