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HomeCXC CAPE EconomicsElasticity of demand and supply
CXC CAPE · · Economics

Elasticity of demand and supply
Practice Questions

40 CXC CAPE Economics questions on Elasticity of demand and supply, each with instant feedback and a full examiner-style mark scheme.

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✨ Revision guide includes key terms, worked examples and exam technique for Elasticity of demand and supply.

Try 2 sample questions on Elasticity of demand and supply

Question 1 · 1 mark · Difficulty 1/3

What does a price elasticity of demand greater than 1 in magnitude mean?

  1. Demand is elastic: quantity responds more than proportionately to price
  2. The good is a necessity
  3. Demand is inelastic: quantity responds less than proportionately
  4. Demand is unit elastic
Show answer & explanation
✓ Answer: ADemand is elastic: quantity responds more than proportionately to price
Award 1 mark. Below 1 in magnitude is inelastic and exactly 1 is unit elastic.
Question 2 · 1 mark · Difficulty 1/3

What does a negative income elasticity of demand indicate?

  1. A necessity, whose demand rises slower than income
  2. A luxury good, whose demand rises faster than income
  3. An inferior good, whose demand falls as income rises
  4. A complement to another good
Show answer & explanation
✓ Answer: CAn inferior good, whose demand falls as income rises
Award 1 mark. For income and cross elasticity the sign *is* the classification, so reporting the magnitude alone misses the point of the calculation.
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20 questions · 25 min · free

CXC CAPE Economics: Elasticity of demand and supply FAQ

Is Kramizo free for CXC CAPE students preparing for Economics?
Yes — completely free. Every student gets 45 questions a day on the free plan, with no card required and no trial countdown. That free quota works across every subject and every topic in our bank, so you can mix Elasticity of demand and supply practice with other Economics topics or even switch to a totally different CXC CAPE subject without paying anything. Kramizo's optional Pro plan removes the daily cap and adds detailed progress analytics, but the free tier is the real product — used by thousands of GCSE, IGCSE and CSEC students.
Are the Elasticity of demand and supply questions aligned to the official CXC CAPE Economics syllabus?
Every question is written against the published CXC CAPE Economics specification, including the exact command words (state, describe, explain, calculate, evaluate, etc.), mark allocations, and difficulty tier you'd see on a real CXC CAPE paper. Explanations are written in the style of official examiner mark schemes — they tell you what is being awarded marks and why distractors are wrong, not just whether you got it right. The bank is continually refined to match the latest syllabus updates from CXC CAPE.
How is Elasticity of demand and supply typically tested on CXC CAPE Economics papers?
Elasticity of demand and supply appears across multiple question types on real CXC CAPE Economics papers — most commonly as multiple-choice questions in the objective section, structured short-answer questions in the main paper, and occasionally as part of an extended response. Kramizo's practice bank reflects that mix: 4-option MCQs, true/false statements, fill-in-the-blank key terms, multi-select questions, and ordering questions. Working through the bank gives you exposure to every question style examiners actually use.

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