Edexcel IGCSE Economics 1.1.3.c factors shifting demand
Practise demand-shift questions by selecting the factor, moving the curve correctly and using market context to explain the effect.
- Syllabus
- First assessment 2019
- Course
- Economics 4EC1
Exam points
- Identify the demand-shift factor, such as substitutes, advertising, income or tastes.
- Explain whether the factor moves the demand curve left or right in a market context.
- Evaluate demand effects using consumer choice, price changes and stakeholder impacts.
1.1.3.c Factors that shift demand question 1
[Maximum number: 1]
State one factor that will cause a demand curve to shift to the left.
Beating the congestion in Dhaka
Nearly 17 million people live in Dhaka, the capital of Bangladesh. The majority of people live in the city centre and traffic congestion is a problem. However, there are many auto rickshaws (a small, three-wheeled vehicle, driven by a motorcycle engine) competing in the city centre to take passengers to their destinations. Fares tend to be cheaper in the city centre than they are outside the city centre and are usually agreed between passengers and drivers.
Dhaka has a large number of auto rickshaws competing for fares.
AO1 1 mark
Award 1 mark for one correct factor:
- a decrease in advertising
- a decrease in income
- an adverse change in taste and fashion
- a decrease in price of substitute goods
- an increase in price of complementary goods
- a decrease in population
Accept any other appropriate response
(1)
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