Several coach companies begin operating on a route previously served by one producer. The average single fare falls from £18 to £14, and companies introduce Wi-Fi and more frequent departures. Analyse how the increase in competition may affect consumers and producers.
28 exam-style questions on OCR GCSE Economics 2.5 Competition, covering 2.5.1 Why producers compete, 2.5.2 How competition affects price, 2.5.3 Economic impact of competition, and 2.5.4 Monopoly and oligopoly. Each one has a worked solution and a mark scheme showing where the marks go.