, QUESTION 1 1.1 Briefly explain the role of transport and
competition in the economy. (4) 1.2 What two groups of
users have a need for transport? Explain in full how we
distinguish between these two groups. (4) 1.3 Distinguish
the difference between common costs and joint costs,
make use of examples to demonstrate your understanding.
(6) 1.4 A transport enterprise may follow and three types
of pricing to determine tariff Identify and explain in your
own words each type.
QUESTION 1
1.1 The Role of Transport and Competition in the
Economy (4 marks)
Transport plays a crucial role in the economy by
facilitating the movement of goods, services, and
people. It enhances economic growth, trade, and
industrial development in the following ways:
1. Economic Growth and Trade: Transport
infrastructure allows businesses to access wider
markets, improving trade and economic
integration. Efficient transport reduces costs and
enhances competitiveness.
2. Employment and Investment: The transport
sector creates direct and indirect employment
competition in the economy. (4) 1.2 What two groups of
users have a need for transport? Explain in full how we
distinguish between these two groups. (4) 1.3 Distinguish
the difference between common costs and joint costs,
make use of examples to demonstrate your understanding.
(6) 1.4 A transport enterprise may follow and three types
of pricing to determine tariff Identify and explain in your
own words each type.
QUESTION 1
1.1 The Role of Transport and Competition in the
Economy (4 marks)
Transport plays a crucial role in the economy by
facilitating the movement of goods, services, and
people. It enhances economic growth, trade, and
industrial development in the following ways:
1. Economic Growth and Trade: Transport
infrastructure allows businesses to access wider
markets, improving trade and economic
integration. Efficient transport reduces costs and
enhances competitiveness.
2. Employment and Investment: The transport
sector creates direct and indirect employment
