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

Income elasticity of demand — practice question

What might increase the number of people employed in an industry producing good X?

  • Aa decline in the marginal physical productivity of workers in industry X
  • Bthe imposition of a tariff on an imported good which is a complement to good X
  • Cthe introduction of an employer's contribution to a state welfare scheme for each employee
  • Dthe removal of a sales tax on good X

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