Pass the CIMA Certificate BA1 Questions and answers with ExamsMirror

Consumer expenditure will fall as price rises

Producers' incomes will rise as price falls

It is a product with many close substitutes

Total quantity sold will fall as price rises

Firms will acquire control of their sources of supply

Mergers lead to large companies and economies of scale

Such mergers result in increased concentration in industries

It is against consumer interests for producers to acquire control of retail outlets

an extension in demand, a contraction in supply and a market shortage

a decrease in demand, an extension in supply and a market surplus

a contraction in demand, an increase in supply and a market surplus

a contraction in demand, an extension in supply and market surplus

Small firms do not generally raise finance on the capital market

Banks may refuse to lend to small firms because of the risk involved

Small firms are common in industries which display increasing returns to scale

Small firms are common in industries where there are niche markets

Price elastic demand, price inelastic supply

Price inelastic demand, price elastic supply

Price elastic demand, price elastic supply

Price inelastic demand, price inelastic supply

There are many close substitutes for the good

The time period under consideration is long

The good is a luxury

The proportion of consumer income spent on the good is small

non-excludability in consumption

external social costs in production

external social benefits in consumption

non-rivalry in consumption

Pollution resulting from a production process

Firms training workers who then move to other employers

Some consumers being unable to afford goods because prices have been driven up by the demand from other consumers

Road congestion caused by rush hour traffic on the roads

A depreciation in its exchange rate compared to currencies from countries with lower inflation rates

A high nominal rate of interest

Impoverishment of households on fixed incomes

Excess aggregate demand for goods and services

Companies with high levels of borrowing producing consumer durables.

Companies with low levels of borrowing in the supermarket industry.

Cash rich companies producing consumer durable goods.

Low geared companies whose inputs are mainly imported.