《2016 Econ. Paper 2》.pdf

2000-CE ECON HONG KONG EXAMINATIONS AUTHORITY 2 HONG KONG CERTIFICATE OF EDUCATION EXAMINATION 2000 ECONOMICS PAPER 2 10.45 am – 11.45 am (1 hour) Subject Code 120 1. Read carefully the instructions on the Answer Sheet and insert the information required (including the Subject Code) in the spaces provided. 2. When told to open this book, check that all the questions are there. Look for the words ‘END OF PAPER’ after the last question. 3. ANSWER ALL QUESTIONS. All the answers should be marked on the Answer Sheet. 4. Note that you may only mark ONE answer to each question. Two or more answers will score NO MARKS. 5. All questions carry equal marks. No marks will be deducted for wrong answers.  Hong Kong Examinations Authority All Rights Reserved 2000 2000-CE-ECON 2–1 There are 54 questions. Choose the BEST answer for each question. 1. Good X is a ‘free good’ when A. there is no opportunity cost involved in using it. B. its quantity supplied is greater than what consumers are willing to purchase in the market. C. nobody wants more of it. D. its supply is so abundant that consumers place no value on it. 2. Chan and Wong take a journey to City X separately. They can go there either by plane or by train. The plane takes 2 hours while the train takes 10 hours. The air ticket costs $1 000 while the train fare is $200. During the journey to City X, the foregone earning of Chan is $200 per hour and that of Wong is $80 per hour. For the journey to City X, Ch