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Economics (AS & A Level) · May / June 2026 · Paper 14 · Question 15

9708The interaction of demand and supply

In the diagram, D is the demand curve of an agricultural commodity and S is the initial supply curve. The government promises to maintain farmers' incomes at least at their initial level. The harvests in four subsequent years are shown by supply curves S1–S4. In which years will the government not need to provide extra income to farmers?

  1. A1 and 2
  2. B1 and 4
  3. C2 and 3
  4. D3 and 4

As printed in the paper

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Correct answer: C. 2 and 3

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