Economics 9708 · AS & A Level · Income elasticity of demand

Income elasticity of demand — practice question

James cultivates fruit trees in his garden. They draw butterflies and bees. Which of the following is not an externality of this?

  • ANeighbours may be stung by the bees that pollinate the trees.
  • BNeighbours may buy fruit more cheaply from James than the local supermarket.
  • CNeighbours may enjoy better air quality as the trees naturally improve the atmosphere.
  • DNeighbours may like to watch the activity of the wildlife at no cost.

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI