ECONOMICS (FINAL EXAM)
Term 2
GRADE: 11
Name: ________________
Section: _______________
[Link].5.9-12. Describe the consequences of competition in specific markets.
[Link].4.9-12. Evaluate the extent to which competition among sellers and among buyers exists in
specific markets
[Link].3.9-12. Analyze the ways in which incentives influence what is produced and distributed in a
market system
[Link].2.9-12. Use marginal benefits and marginal costs to construct an argument for or against an
approach or solution to an economic issue.
[Link] Student is able to identify the most important principles and features of his/her country’s
economic system.
[Link] Student is able to infer similarities and differences between international economic
systems.
[Link] Student is able to identify the most important principles and features of his/her country’s
economic system.
Q.1 Which Market would you prefer to operate your business in? Choose one.
(4)
Oligopoly
Perfect Competition
OLIGOPOLY
Give three reasons to explain your choice?
Reason 1:
less compatition
Reason 2:
control prices
Reason 3:
_ brand value and brand recognition
Q2. Majid and Ahmed are starting a partnership business, Majid has left the country without any
prior notice. To avoid the situation what kind of partnership would you prefer?
(4)
Limited because if majd leaves and if he is a limited
partner then Ahmed will be a general partner to take
care of depts and all which will eventually not make the
business go down?Q3. Differentiate between Price ceiling and Price Floor?
(4)
Price floor - minimum wages of goods and services that
the government has set on the country
AND
price ceiling - opposite of price floor, maximum wages of
goods and services that the government has set on the
country
Q4. Solve the following questions on basis of the picture below:
What is this product?
(1)
SHIPES
What kind of Market Structure does this picture represent?
(2)
Monopolistic
Explain two reasons to explain your answer?
(2)
1-many producers
2-similar but varied products
Q5. Discuss the importance of the following with examples of each one:
Franchises:
(3)
Franchisers sell their brand name to franchisees so they
can start their own companies, advantage - Franchisers
help new owners get started with management training,
budgets, and advertising campaigns. Disadvantage -
There are also disadvantages to franchising. Franchisers
charge high fees for the right to use their name. The
bigger the name, the more expensive the franchise
rights. Franchisees must also pay royalties, or a
percentage of earnings, to the parent company
Cooperatives:
(3)
A cooperative is a business owned by a group of individuals for their shared
benefits, people who join co-ops are consumers who want to increase their buying
power, they sell goods to their members in at reduced prices, they can do this
because they purchase products in bulk quantites which makes it cost less. and
the requirements to join the cooperative business requires members to work
certain amount of hours or a yearly membership fee.
It's important because it helps members by giving affordable goods and
free services to their members
Nonprofit Organizations:
(3)
Non profit organizations are like businesses but they don't work to get profit,
they're established to support public and private goals, human rights, arts of
enviroment, religion, and medical reasearch. ex - mosques
Public goods - Police services, national defense and public parks
Importance of non-profit organization is that there are businesses in a country
that support the people without making *profit and support their private and
public goals.
Q6. The equilibrium point has shifted from E1 to E2, Discuss the possible reasons of this downward
movement of equilibrium? Indicate the Surplus on the graph?
(5)
-Surplus above the equilibrium
-and equilibrium shifts because the supply and the
demand shifts
[Link] is a highly attractive market for the entrepreneurs? Give three reasons to explain?
(4)
Yes UAE is highly attractive market for the entrepreneurs because
1-UAE has alot of touristic places which attracts alot of people to come and that increases
the chance of them walking into your shop.
2-there are low taxes in the UAE which makes it easier to open a businesss
3-Expo 2020 which will make everyone in the world to come to UAE
Q8. There is a shortage of New I phone X in UAE
a) What is effect on price?
(2)
Price increases because there's less Iphones
b) What is effect on consumer demand?
(2)
Demand increases because there's less items of the Iphones
c) Would you like to be the distributor of I Phone at this point?
(2) yes nigga
Q9. Define cooperation. What are three characteristics of cooperation?
(4)
ur mom
