Top answers

Using a graph, provide reasons for the placement of a sales tax on alcohol. (5 marks)

Alcohol is seen as an example of a demerit good. This means that upon consumption of the good,whilst the consumer receives a private benefit, they push a negative impact onto a third party, in this case soci...
JR
Answered by Jacob R. • Economics tutor
2318 Views

Using real life examples, explain the differences between the different market structures.

There a four types of market structures. A monopoly is where one firm dominates the market, it is characterised by high entry and exit barriers, high sunk costs and a possibility for supernormal profits. An ...
FA
Answered by Fiyin A. • Economics tutor
16416 Views

Define economics of scale and explain them 2 examples

Economies of scale are when firms experience a fall in long run average costs due to the growth of the size of the company. Firstly an example is financial economies of scale. This is when a company can borr...
SW
Answered by Sophie W. • Economics tutor
3137 Views

What are the determinants of Demand? What is the effect of a change in the determinants of demand?

The determinants of demand are the factors that affect the quantity of a product that is demanded (by consumers) at every given price level. The main determinants of demand include: Income level, Consumer Pr...
HP
Answered by Helen P. • Economics tutor
14911 Views

What are economic stabliziers?

Before trying to figure out what automotic stabilizers are, it is necessary to first understand the business cycle. Business cycle recap: An economy experiences fluctuations. They go through periods of expan...
YE
Answered by Yasmina E. • Economics tutor
2400 Views