Allocation of Resources · 4 question types
Past paper frequency (2018 to 2024)
This topic accounts for approximately 20% of your exam marks.
Demand is the single highest-frequency topic; demand definition, curve shifts, and factors appear on virtually every Paper 2, typically worth 10 to 18 marks.
| Movement along the demand curve | Shift of the demand curve | |
|---|---|---|
| What changes? | The good's own price | Any non-price factor (income, tastes, related goods, expectations, population, advertising) |
| What does the curve do? | Stays put | Moves to a new position |
| What do we call the change? | Extension (price ↓) or contraction (price ↑) | Increase in demand (rightward) or decrease in demand (leftward) |
| What changes on the diagram? | The point on the curve | The whole curve |
| Vocabulary | "change in quantity demanded" | "change in demand" |
Example — Distinguish a movement along a demand curve from a shift of a demand curve. (3 marks)
A full-mark answer covers all three components: