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1.3 Price determination in a competitive market

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Question 68

Extract B

Table 1: Average weekly residential care home fees, selected UK regions, 2016 and 2022

Selected UK regionsAverage weekly care home fee, 2016Average weekly care home fee, 2022
Midlands£650.00£890.00
South West£720.00£1,050.00
North West£600.00£820.00
Wales£580.00£790.00
Scotland£680.00£940.00
UK average£646.00£898.00

Figure 1: Number of over-80s requiring residential care in the UK, and type of placement, 2016 to 2022

  • Total number of over-80s needing residential care (solid line): upward trend from ~1.2 million to ~1.6 million
  • Staying with family / received home care (dashed line): upward trend from ~250,000 to ~320,000
  • Private care homes capacity (dash-dot line): upward trend from ~450,000 to ~550,000
  • Local authority care homes capacity (dotted line): upward trend from ~300,000 to ~330,000

Explain how the data in Extract B (Figure 1 and Table 1) show that the supply of residential care home placements has failed to match the increase in the elderly population needing care between 2016 and 2022.

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1.3 Price determination in a competitive market Questions

  1. A Level
  2. /Economics
  3. /1.3 Price determination in a competitive market

256 exam-style questions on AQA A Level Economics 1.3 Price determination in a competitive market, covering 1.3.1 The determinants of the demand for goods and services, 1.3.2 Price, income and cross elasticities of demand, 1.3.3 The determinants of the supply of goods and services, 1.3.4 Price elasticity of supply, 1.3.5 The determination of equilibrium market prices, and 1.3.6 The interrelationship between markets. Each one has a worked solution and a mark scheme showing where the marks go.

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