A business grows salad leaves on rented farmland and sells boxes of them to households.
| Year 1 | Year 2 | |
|---|---|---|
| Customer orders for boxes | 80,000 | 120,000 |
| Farmland rented (hectares) | 8 | 11 |
Explain how the information illustrates the link between a product market and a factor market, and how a fall in customer orders would be likely to affect the business's demand for farmland.
84 exam-style questions on AQA GCSE Economics 1.2 Resource allocation, covering 1.2.1a Markets, 1.2.1b Allocation of resources, 1.2.1c Factor and product markets, 1.2.2a Primary, secondary and tertiary sectors, 1.2.2b Goods and services, 1.2.3a Specialisation and the division of labour, 1.2.3b How and why producers specialise, and 1.2.3c Costs and benefits of the division of labour. Each one has a worked solution and a mark scheme showing where the marks go.