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

Income elasticity of demand — practice question

Oranges and apples are substitutes. The diagram presents the equilibrium position in the oranges market at X. Weather conditions lower the quantity of oranges produced but raise the quantity of apples produced. Which point is most likely to show the new equilibrium for oranges?

  • AA
  • BB
  • CC
  • DD

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