Paper 3 (2023) Synoptic Revision Through Poverty & Inequality | A-Level Economics

[@rosettegolda232]

Just wondering if anyone knows how to do AQA paper 3 2020 question 28? I can't imagine a diagram and have tried drawing but just cannot!

[@LemonTurkeys]

The first line tells us that we are in perfect competition, and then the line below the table tells us that the market price is £10. In perfect competition the AR/MR curve is a straight horizontal line so the profit maximising point where the MR hits the MC is at the market price, hence they profit maximise at £10=MR=MC and produce 1000 units. I think that’s the correct explanation but I could be wrong, hope it helps!

[@rosettegolda232]

@@LemonTurkeys You. Are. A. Legend. Thank you Harvey that helps loads I can visualise it!!!

[@stangsandwangs258]

@@LemonTurkeys great explanation

[@joe1h7]

Geoff you never miss ❤

[@tutor2u-official]

You are very kind Joe - please spread the word

[@harveykemp3440]

is the Palma ratio on the Edexcel a spec?

[@tutor2u-official]

No - but useful to know for evaluation Harvey - good luck!

[@henners1574]

Geoff clutch

[@tutor2u-official]

Don't forget the accelerator effect!