CAIE A-Level Economics A2 8.3.2 Labour Demand Determinants Questions

Practise explaining labour demand elasticity, productivity, wage rates and employment effects using CAIE Economics A2 questions.

Syllabus
2026–2028
Course
Economics 9708
Level
A2

Exam points

  • Explain determinants of labour demand, wage rates, employment and the elasticity of demand for labour.

CAIE A-Level Economics A2 8.3.2 Labour Demand Determinants Questions question 1

[Maximum number: 1]

The chart gives information about the average daily wage rate for all industries in India.

Figure for Question CAIE A-Level Economics A2 8.3.2 Labour Demand Determinants Questions question 1 — CAIE A-Level Economics A2

What could have caused this trend in wage rates?

A

an increase in capital-intensive production

B

an increase in the number of industrial workers

C

an increase in the number of people unemployed

D

an increase in the productivity of labour

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