Question Bank by Edumentors
From 11+, GCSEs to A-Levels and beyond - free study notes that students all across the UK use
Explain the kinked demand curve
The Kinked Demand Curve theory is a concept used in economics to explain price stability in oligopolistic markets, where a few large firms dominate. This theory suggests that in such markets, the demand curve a firm faces for its products has a distinctive kinked shape due to the expected reactions of competitors to c
What are supply side policies and how do they effect the economy?
Supply-side policies are strategies aimed at increasing the productive capacity of an economy, focusing on boosting the efficiency and productivity of producing goods and services. These policies generally involve measures like encouraging investment in technology and infrastructure, improving education and skills tra
What is meant by an oligopoly being both interdependent and uncertain in their price strategies?
Interdependence the limited number of players, each firm's actions, especially regarding pricing, directly affect the others. For example, if one firm lowers its prices, it can significantly impact the market share of the other firms. This interdependence means that firms in an oligopoly must consider the potential re
What is PED and how do we calculate it?
Price Elasticity of Demand (PED) is a measure that evaluates how responsive the quantity demanded of a good is to a change in its price. It shows the sensitivity of consumers to price alterations. Formula for Calculation PED is calculated with the formula: PED = (% Change in Quantity Demanded) / (% Change in Price)
Download our free study tips
This handbook will help you plan your study time, beat procrastination, memorise the info and get your notes in order.
Need help to find a tutor?
Our educational experts will help you find the perfect online tutor from top UK universities.