Economics 9708 · AS & A Level · Long-run costs and economies of scale

Long-run costs and economies of scale — practice question

(a)[12]

Explain what economists mean by saying that the labour market is imperfect rather than perfect.

(b)[13]

Does the word ‘imperfect’ suggest that there is some failure in the labour market that ought to be corrected by government intervention?

Worked solution & mark scheme

This 25-mark question has a full step-by-step worked solution and mark scheme.