Economics 9708/04 Oct Nov 2004 | Cambridge AS Level Past Papers With Mark Scheme

The user can download the PDF file for detailed review. Key questions summarized:

1. Analysis of cost differences between British Airways (BA) and low-cost competitors, focusing on operational expenses, services, and pricing strategies.
2. Examination of price discrimination conditions and discussion of whether BA’s pricing strategy aligns with price discrimination principles.
3. Evaluation of market structures, specifically whether the airline market meets the criteria for perfect competition based on pricing transparency and service differentiation.
4. Discussion of economic efficiency and its practical attainability considering market imperfections and real-world constraints.
5. Exploration of the effects of investment on an economy, including determinants, aggregate demand impacts, and growth prospects.
6. Assessment of trade union influence on wages and employment in the context of outsourcing production to lower-cost regions.