A-level Paper 3, November 2021Microeconomics and Macroeconomics

A-level Paper 3, November 2021, Q2(c)

Discuss the likely impact of investment in new technology on the profitability of firms in Germany, as described in Extract C line 20. Use a cost and revenue diagram to support your answer.

Data responseDiscuss12 marks

Case study

The German economy

Original diagram required. See the original question paper for the diagram.

Specification topics

CostsNormal profits, supernormal profits and lossesInvestment (I)

Revision notes

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