AS Economics Revision Guide Overview
Questions With 100% Verified Answers
Scarcity f- fCORRECT✅✅Limited fresources fversus funlimited fwants fin feconomics.
Opportunity fCost f- fCORRECT✅✅Value fof fthe fnext fbest falternative fforgone.
Production fPossibility fFrontier f(PPF) f- fCORRECT✅✅Graph fshowing fmaximum
foutput fcombinations fof ftwo fgoods.
Economic fGrowth f- fCORRECT✅✅Increase fin fthe fproduction fcapacity fof fan
feconomy.
Specialisation f- fCORRECT✅✅Focus fon fa fspecific ftask fto fimprove fefficiency.
Demand f- fCORRECT✅✅Consumer fwillingness fto fpurchase fgoods fat fvarious
fprices.
Demand fCurve f- fCORRECT✅✅Graphical frepresentation fof fdemand fat fdifferent
fprices.
Supply f- fCORRECT✅✅Producers' fwillingness fto fsell fgoods fat fvarious fprices.
Supply fCurve f- fCORRECT✅✅Graphical frepresentation fof fsupply fat fdifferent fprices.
Market fEquilibrium f- fCORRECT✅✅Point fwhere fsupply fequals fdemand fin fa fmarket.
Consumer fSurplus f- fCORRECT✅✅Difference fbetween fwhat fconsumers fare fwilling
fto fpay fand factual fprice.
Producer fSurplus f- fCORRECT✅✅Difference fbetween factual fprice freceived fand
fminimum fprice fproducers fwould faccept.
Elasticity f- fCORRECT✅✅Measure fof fresponsiveness fof fquantity fdemanded for
fsupplied.
Price fElasticity fof fDemand f- fCORRECT✅✅Responsiveness fof fquantity fdemanded
fto fprice fchanges.
Income fElasticity fof fDemand f(YED) f- fCORRECT✅✅Responsiveness fof fdemand fto
fchanges fin fconsumer fincome.
,Cross fElasticity fof fDemand f- fCORRECT✅✅Responsiveness fof fdemand ffor fone
fgood fto fprice fchanges fof fanother.
Price fElasticity fof fSupply f- fCORRECT✅✅Responsiveness fof fquantity fsupplied fto
fprice fchanges.
Tax f- fCORRECT✅✅Mandatory ffinancial fcharge fimposed fby fgovernment fon
findividuals for fentities.
Wage fDetermination f- fCORRECT✅✅Process fof festablishing fwage frates ffor flabor.
National fMinimum fWage f- fCORRECT✅✅Lowest flegal fwage fthat fcan fbe fpaid fto
fworkers.
Shifts fin fDemand fCurve f- fCORRECT✅✅Changes fin fdemand fdue fto ffactors fother
fthan fprice.
Shifts fin fSupply fCurve f- fCORRECT✅✅Changes fin fsupply fdue fto ffactors fother fthan
fprice.
Using fKnowledge fof fElasticity f- fCORRECT✅✅Applying felasticity fconcepts fto fpredict
fmarket fbehavior.
Flexible flabour fmarkets f- fCORRECT✅✅Labour fmarkets fthat fadjust feasily fto
feconomic fchanges.
Net fmigration f- fCORRECT✅✅Difference fbetween fimmigrants fand femigrants fin fa
fregion.
Market ffailure f- fCORRECT✅✅Inefficient fallocation fof fresources fin fa fmarket.
Externalities f- fCORRECT✅✅Costs for fbenefits faffecting fthird fparties fnot finvolved.
Negative fexternality f- fCORRECT✅✅Harmful feffect fon fthird fparties ffrom fan
feconomic factivity.
Positive fexternality f- fCORRECT✅✅Beneficial feffect fon fthird fparties ffrom fan
feconomic factivity.
Public fgood f- fCORRECT✅✅Non-excludable fand fnon-rivalrous fresource for fservice.
Information fgaps f- fCORRECT✅✅Lack fof finformation faffecting fmarket fefficiency.
Merit fgood f- fCORRECT✅✅Under-consumed fgoods fproviding fpositive fexternalities.
Demerit fgood f- fCORRECT✅✅Over-consumed fgoods fcausing fnegative fexternalities.
, Government fintervention f- fCORRECT✅✅Actions ftaken fto fcorrect fmarket ffailures.
Tax f- fCORRECT✅✅Compulsory ffinancial fcharge fimposed fby fthe fgovernment.
Subsidy f- fCORRECT✅✅Financial fsupport fto fencourage fproduction for fconsumption.
Maximum fprices f- fCORRECT✅✅Price fceiling fpreventing fprices ffrom frising fabove fa
flevel.
Minimum fprices f- fCORRECT✅✅Price ffloor fpreventing fprices ffrom ffalling fbelow fa
flevel.
Tradeable fpollution fpermits f- fCORRECT✅✅Allowances ffor fpollution fthat fcan fbe
fbought for fsold.
State fprovision fof fpublic fservices f- fCORRECT✅✅Government fprovision fof fessential
fservices fto fcitizens.
Advertising/Information f- fCORRECT✅✅Communication fto finform fconsumers fabout
fproducts.
Regulation f- fCORRECT✅✅Rules fgoverning feconomic factivities fto fprotect fpublic
finterest.
Government ffailure f- fCORRECT✅✅Inefficiencies farising ffrom fgovernment
fintervention.
Circular fflow fof fincome f- fCORRECT✅✅Economic fmodel fshowing fincome
fmovement fbetween fsectors.
Injections f- fCORRECT✅✅Additions fto fthe feconomy ffrom finvestment, fgovernment
fspending.
Withdrawals f- fCORRECT✅✅Leakages ffrom fthe fcircular fflow fof fincome.
Multiplier feffect f- fCORRECT✅✅Increase fin fnational fincome ffrom finitial fspending.
Aggregate fdemand f- fCORRECT✅✅Total fdemand ffor fgoods fand fservices fin
feconomy.
Consumer fspending f(C) f- fCORRECT✅✅Expenditure fby fhouseholds fon fgoods fand
fservices.
Investment f- fCORRECT✅✅Spending fon fcapital fgoods ffor ffuture fproduction.
Questions With 100% Verified Answers
Scarcity f- fCORRECT✅✅Limited fresources fversus funlimited fwants fin feconomics.
Opportunity fCost f- fCORRECT✅✅Value fof fthe fnext fbest falternative fforgone.
Production fPossibility fFrontier f(PPF) f- fCORRECT✅✅Graph fshowing fmaximum
foutput fcombinations fof ftwo fgoods.
Economic fGrowth f- fCORRECT✅✅Increase fin fthe fproduction fcapacity fof fan
feconomy.
Specialisation f- fCORRECT✅✅Focus fon fa fspecific ftask fto fimprove fefficiency.
Demand f- fCORRECT✅✅Consumer fwillingness fto fpurchase fgoods fat fvarious
fprices.
Demand fCurve f- fCORRECT✅✅Graphical frepresentation fof fdemand fat fdifferent
fprices.
Supply f- fCORRECT✅✅Producers' fwillingness fto fsell fgoods fat fvarious fprices.
Supply fCurve f- fCORRECT✅✅Graphical frepresentation fof fsupply fat fdifferent fprices.
Market fEquilibrium f- fCORRECT✅✅Point fwhere fsupply fequals fdemand fin fa fmarket.
Consumer fSurplus f- fCORRECT✅✅Difference fbetween fwhat fconsumers fare fwilling
fto fpay fand factual fprice.
Producer fSurplus f- fCORRECT✅✅Difference fbetween factual fprice freceived fand
fminimum fprice fproducers fwould faccept.
Elasticity f- fCORRECT✅✅Measure fof fresponsiveness fof fquantity fdemanded for
fsupplied.
Price fElasticity fof fDemand f- fCORRECT✅✅Responsiveness fof fquantity fdemanded
fto fprice fchanges.
Income fElasticity fof fDemand f(YED) f- fCORRECT✅✅Responsiveness fof fdemand fto
fchanges fin fconsumer fincome.
,Cross fElasticity fof fDemand f- fCORRECT✅✅Responsiveness fof fdemand ffor fone
fgood fto fprice fchanges fof fanother.
Price fElasticity fof fSupply f- fCORRECT✅✅Responsiveness fof fquantity fsupplied fto
fprice fchanges.
Tax f- fCORRECT✅✅Mandatory ffinancial fcharge fimposed fby fgovernment fon
findividuals for fentities.
Wage fDetermination f- fCORRECT✅✅Process fof festablishing fwage frates ffor flabor.
National fMinimum fWage f- fCORRECT✅✅Lowest flegal fwage fthat fcan fbe fpaid fto
fworkers.
Shifts fin fDemand fCurve f- fCORRECT✅✅Changes fin fdemand fdue fto ffactors fother
fthan fprice.
Shifts fin fSupply fCurve f- fCORRECT✅✅Changes fin fsupply fdue fto ffactors fother fthan
fprice.
Using fKnowledge fof fElasticity f- fCORRECT✅✅Applying felasticity fconcepts fto fpredict
fmarket fbehavior.
Flexible flabour fmarkets f- fCORRECT✅✅Labour fmarkets fthat fadjust feasily fto
feconomic fchanges.
Net fmigration f- fCORRECT✅✅Difference fbetween fimmigrants fand femigrants fin fa
fregion.
Market ffailure f- fCORRECT✅✅Inefficient fallocation fof fresources fin fa fmarket.
Externalities f- fCORRECT✅✅Costs for fbenefits faffecting fthird fparties fnot finvolved.
Negative fexternality f- fCORRECT✅✅Harmful feffect fon fthird fparties ffrom fan
feconomic factivity.
Positive fexternality f- fCORRECT✅✅Beneficial feffect fon fthird fparties ffrom fan
feconomic factivity.
Public fgood f- fCORRECT✅✅Non-excludable fand fnon-rivalrous fresource for fservice.
Information fgaps f- fCORRECT✅✅Lack fof finformation faffecting fmarket fefficiency.
Merit fgood f- fCORRECT✅✅Under-consumed fgoods fproviding fpositive fexternalities.
Demerit fgood f- fCORRECT✅✅Over-consumed fgoods fcausing fnegative fexternalities.
, Government fintervention f- fCORRECT✅✅Actions ftaken fto fcorrect fmarket ffailures.
Tax f- fCORRECT✅✅Compulsory ffinancial fcharge fimposed fby fthe fgovernment.
Subsidy f- fCORRECT✅✅Financial fsupport fto fencourage fproduction for fconsumption.
Maximum fprices f- fCORRECT✅✅Price fceiling fpreventing fprices ffrom frising fabove fa
flevel.
Minimum fprices f- fCORRECT✅✅Price ffloor fpreventing fprices ffrom ffalling fbelow fa
flevel.
Tradeable fpollution fpermits f- fCORRECT✅✅Allowances ffor fpollution fthat fcan fbe
fbought for fsold.
State fprovision fof fpublic fservices f- fCORRECT✅✅Government fprovision fof fessential
fservices fto fcitizens.
Advertising/Information f- fCORRECT✅✅Communication fto finform fconsumers fabout
fproducts.
Regulation f- fCORRECT✅✅Rules fgoverning feconomic factivities fto fprotect fpublic
finterest.
Government ffailure f- fCORRECT✅✅Inefficiencies farising ffrom fgovernment
fintervention.
Circular fflow fof fincome f- fCORRECT✅✅Economic fmodel fshowing fincome
fmovement fbetween fsectors.
Injections f- fCORRECT✅✅Additions fto fthe feconomy ffrom finvestment, fgovernment
fspending.
Withdrawals f- fCORRECT✅✅Leakages ffrom fthe fcircular fflow fof fincome.
Multiplier feffect f- fCORRECT✅✅Increase fin fnational fincome ffrom finitial fspending.
Aggregate fdemand f- fCORRECT✅✅Total fdemand ffor fgoods fand fservices fin
feconomy.
Consumer fspending f(C) f- fCORRECT✅✅Expenditure fby fhouseholds fon fgoods fand
fservices.
Investment f- fCORRECT✅✅Spending fon fcapital fgoods ffor ffuture fproduction.
