CIE IGCSE Economics Questions and Answers
Document Content and Description Below
What is the basic economic problem Correct Answer how to allocate resources to satisfy unlimited needs and wants (scarcity) What is the chain of production Correct Answer describes how businesses ... from the primary, secondary and tertiary sectors work interdependently to make a product and sell it to the final customer What are Economic Agents Correct Answer households (private individuals in society), firms that operate in the private sector of an economy and the government (the public sector of an economy) What is absolute poverty Correct Answer an extreme form of poverty; it indicates the number of people who cannot afford minimal standards of basic human needs (food, clothing, health care and shelter) What is appreciation of a currency Correct Answer this occurs when there is an increase in its value relative to another currency operating in a floating exchange rate system. How are average costs calculated Correct Answer total costs / number of units produced What is backward vertical integration Correct Answer this occurs when a firm from the secondary sector of industry merges with a firm from the primary sector of industry or a firm from the tertiary sector of industry merges with a firm from the secondary sector of industry. What are bad debts Correct Answer when people or businesses cannot repay a loan What is a balance of payments Correct Answer a financial record of a country's transactions with the rest of the world for a given time period, per time period. What is a balance of trade / trade balance Correct Answer the difference between a country's total export earnings and its total expenditure What are barriers to entry Correct Answer the obstacles that prevent other firms from effectively entering in the market. Eg. The existence of intellectual property rights, large advertising budgets of existing firms and legal constraints to prevent wasteful competition [Show More]
Last updated: 2 years ago
Preview 1 out of 8 pages
Buy this document to get the full access instantly
Instant Download Access after purchase
Buy NowInstant download
We Accept:
Reviews( 0 )
$10.00
Can't find what you want? Try our AI powered Search
Document information
Connected school, study & course
About the document
Uploaded On
Mar 29, 2023
Number of pages
8
Written in
Additional information
This document has been written for:
Uploaded
Mar 29, 2023
Downloads
0
Views
109
