economics questions

Questions Q1. Answer the question with a cross in the box you think is correct X. If you change your mind about an answer, put a line through the box and then mark your new answer with a cross X. The Chinese Government introduced a carbon emissions trading scheme. The objective of this tradeable pollution permit scheme is to reduce carbon emissions by A forcing highly polluting firms to buy permits from low polluting firms B forcing low polluting firms to buy permits from highly polluting firms C paying subsidies to firms who manage to reduce their carbon emissions D taxing firms who pollute less than their allowance (Total for question = 1 mark)Q3. The diagram shows the market for wheat in the European Union after the introduction of a subsidy. Price of wheat, euros per tonne S+subsidy 194 165 135 D 1 550 2 100 Quantity of wheat per month (tonnes) Which one of the following is the consumer incidence of the subsidy? A E60 900 B (63 000 C E123 900 D (283 500