Economics (AS & A Level) · Oct / Nov 2021 · Paper 11 · Question 16
9708Scarcity, choice and opportunity cost
A government decides to remove fees for higher education provided by the public sector and the private sector. What is the consequence of this policy?
- AHigher education is less likely to be provided by the private sector.
- BResources in higher education will be allocated through the price mechanism.
- CThe demand for higher education will be perfectly elastic when the price is zero.
- DThe opportunity cost of higher education to students will be zero.
As printed in the paper
Show the answer
Correct answer: A. Higher education is less likely to be provided by the private sector.
Make a free account to save your answers and see your weak topics and ask the AI why a wrong answer is wrong.