Edexcel IGCSE Economics 1.1.4.f factors influencing PED
Practise PED factor questions by linking substitutes, necessity, loyalty and time to elastic or inelastic demand in context.
- Syllabus
- First assessment 2019
- Course
- Economics 4EC1
Exam points
- Explain how substitutes make demand for a soft drink or café coffee more elastic.
- Link necessity, loyalty or no substitutes to price inelastic demand for concert tickets.
- Compare short-run and long-run PED as consumers adjust habits over time.
1.1.4.f Factors influencing PED question 1
[Maximum number: 3]
Concert tickets to see the most popular music artists can sell for very high prices.
Explain one reason why the demand for these tickets might be price inelastic.
AO2 3 marks
Award 1 mark for identifying a relevant reason
Award 1 mark for developing the reason
Award 1 mark for the response being in the context of music concerts
- One reason is that there are no substitutes (1) if they want to see the artist performing live (1) the consumer will have no choice but to pay a high amount (1)
Accept any other appropriate response
(3)
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