AS Paper 1, June 2019Introduction to Markets and Market Failure
AS Paper 1, June 2019, Q5(a)
Calculate the percentage change in quantity demanded for Freddos between 2015 and 2017, ceteris paribus:
Multiple choice1 mark
Context
2015 2017 Average weekly pocket money for children £7 £8.75 aged under 10 years In the UK, Freddo is a popular chocolate snack bought by children who are under 10 years old. Freddo’s income elasticity of demand is estimated to be –0.1.
A–0.8%
B–2%
C–2.5%
D–25%