Even if a firm provides a "free" sample, they use resources (labor, materials) that could have been used elsewhere. Therefore, it is an economic good. Why Students Struggled
Students often confuse "free of charge" with a "free good." In economics, if producing or consuming a good requires giving up something else (opportunity cost), it remains an economic good even if the price is $0. Correct Answer & Rationale
An economic good is any good where the quantity demanded exceeds the quantity supplied at zero price.
Based on official answer compilations like those from A1 Education and Scribd , the answer for .
While the exact wording varies across translated versions, Question 2 in the 2010 Paper 2 (Multiple Choice) typically presents a scenario involving a "free" service or product to test the definition of an .
According to Herman Yeung's analysis , many candidates failed to recognize that "scarcity" doesn't mean a good is "rare"; it simply means there isn't enough to satisfy everyone's unlimited wants.
