Oxford AQA IGCSE · Economics (9214)

Economic activity: Practice Questions

5 multiple-choice questions marked as you go, and 5 written questions with worked solutions. All on Economic activity.

10 questions28 marksFree, no account

Question 1

1 mark

What is the central purpose of economic activity within a society?

Question 2

1 mark

In many developed economies, high-speed internet access is now legally classified as a basic utility rather than a luxury service. This shift primarily illustrates that:

Question 3

1 mark

Which of the following is an example of an interaction where producers act as the primary group providing for consumers?

Question 4

1 mark

Which of the following best explains why the distinction between a need and a want can be difficult for economists to define clearly as an economy develops?

Question 5

1 mark

The three key economic decisions that every society must make due to the basic economic problem are:

Question 6

3 marks

Explain the interaction between producers and the government in the context of economic activity when a new environmental regulation is introduced that mandates the use of carbon-capture technology in factories.

Write your answer out first, then check it against the worked solution.

Question 7

5 marks

Explain how the classification of a specific item as a want rather than a need can be subjective and how this classification might change for a consumer as their economic circumstances or income levels evolve over time.

Write your answer out first, then check it against the worked solution.

Question 8

4 marks

Define the central purpose of economic activity and identify the three primary economic groups that interact within an economy to achieve this goal.

Write your answer out first, then check it against the worked solution.

Question 9

4 marks

In many developing nations, the transition from subsistence farming to industrial production changes the nature of economic activity.

a) Distinguish between a need and a want, providing one example of each for a consumer in a developing economy. [2]
b) Explain how the central purpose of economic activity helps to improve the standard of living in such a nation. [2]

Write your answer out first, then check it against the worked solution.

Question 10

7 marks

The government of a country has decided to increase the tax on luxury electronics to fund the construction of new public hospitals.

a) Analyze how the interactions between the government, producers of electronics, and consumers are affected by this policy. [4]
b) Explain the 'for whom to produce' decision in the context of the government providing free healthcare versus private companies selling luxury goods. [3]

Write your answer out first, then check it against the worked solution.

* The content provided by thinka is generated by AI and may not always be accurate or up-to-date. Please use it as a supplementary resource and verify with official materials.

You've seen the model answer. Now get yours marked.

This page can show you how a good answer looks. It cannot tell you what your answer was missing. thinka marks your written work against the real mark scheme in about 15 seconds.

Get My Answers Marked Back to the notes

Want more questions like these? Get a fresh set on this topic, marked as you go.