Activities
Paper 1 real-world example: signalling and incentive functions of price, technology and economic development
The emergency of the artificial intelligence tool ChatGPT produced by OpenAI has led to a huge amount of media interest in the growing importance of AI in people’s lives. Whenever a technological development...
Activities
Paper 1 real-world example: Natural monopoly
If you wanted a business with a very good chance of making a big long-term profit then it may well be in water supply. Setting up a domestic water supply business means a massive initial investment in...
Activities
Paper 1 real-world example: Monopoly power in the gaming market
Last week saw Microsoft’s bid to takeover Activation Blizzard blocked by the UK competition authorities. Activation Blizzard is the company that markets some of the world’s most popular computer games...
Activities
Paper 1 real-world example: monopoly and barriers to entry
The US-based technology company Nvidia has probably benefited as much as any other company from the growth in artificial intelligence. The company is based in Santa Clara, California and was started in...
Activities
Paper 1 real-world example: Intervention buying and minimum prices
The French wine industry has had a difficult year with producers struggling against rising costs and falling revenues. Like businesses in so many markets in Europe, rising energy costs, wages and raw...
Activities
Paper 1 real-world example: Demand, supply, PED and barriers to entry
Question paper Markscheme answers For many holidaymakers, there is a ritual when you reach your holiday destination airport, after retrieving your luggage and emerging from the arrivals lounge, you go...
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Paper 1 real-world example: Common pool resources and market solutions
The scale of unregulated fishing in a disputed region close to the Falkland Islands (Malvinas in Argentina) in the South Atlantic has reached an unsustainable level that is threatening fish populations...
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Paper 1 real-world example: Behavioural economics and PED
The $785.6 billion global airline market is a major part of the world economy and is also hugely influential in terms of its impact on other markets such as tourism is incredibly significant. Airline...
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Paper 1 real world example: The role of the price mechanism in the diamond market
The diamond market is undergoing a huge structural shift. The world’s leading diamond business, De Beer’s major shareholder Anglo American has put its 85% stake in the company up for sale as its revenues...
Activities
Paper 1 real world example: Sustainability and markets
If you make your way around most towns and cities you will see a rapid increase in the number of people using E-bikes. The market for E-bikes started to grow significantly in recent years with the global...