A
Extract B (lines 7 – 8) states that ‘the answer to increasing the long-run trend rate of economic growth is not simply one of increasing spending’.
Using the data and your economic knowledge, assess the importance of both demand-side and supply-side policies in helping the UK economy to achieve a prolonged period of economic growth. (25 marks) 2011
B
Extract E (lines 1 – 2) states: ‘The overriding objective of economic policy is to maintain a stable economy. This requires low inflation, low unemployment and a steady rate of economic growth.’
Using the data and your knowledge of recent economic events, assess the contribution that fiscal and monetary policies can make in maintaining a stable economy. (25 marks) 2011
C
Assess the view that a fall in the exchange rate of the pound will help to improve the performance of the UK economy. 2010
D
Extract F (lines 10-12) states: ‘A significant increase in unemployment seems
inevitable and, in the short run, there is not much that a government can do about it.’ Evaluate alternative measures which can be used to reduce unemployment. (25 marks) 2010
E
Extract C (lines 4-5) indicates that ‘investment is expected to fall rapidly in 2009’. Assess the consequences for the UK economy of a significant fall in investment spending. (25 marks) 2010
F
Assess the various policies that could be used to help an economy, such as that of the UK, to recover from recession. (25 marks) 2010
G
Using the data and your economic knowledge, assess the importance of higher labour productivity in bringing about improvements to UK macroeconomic performance. (25 marks) 2009
H
Extract F (lines 7-8) argues that ‘the potential significance of household savings for UK macroeconomic performance needs to be recognised’.
Using the data and your economic knowledge, evaluate the significance of household savings for UK macroeconomic performance. (25 marks) 2009
I
Extract B (lines 12-14) states: .When total spending grows more quickly than the volume of output produced, inflation is the result.
Assess the view that inflation is always caused by an increase in aggregate demand. (25 marks) 2009
J
Extract F (lines 2-3) state that .the level of consumption is generally a good indicator of the strength of the economy.
Assess the view that rising consumer expenditure is always beneficial for an economy. (25 marks) 2009
K
Extract B (line 16) states that, in assessing the reasons for the UK’s external weakness, not all the blame can be put on a strong pound.
L
Using the data and your economic knowledge, evaluate the significance of a strong pound in explaining deficits in the UK balance of payments on current account. (25 marks) Specimen
M
Extract D (lines 27-29) states that .it is improvements to the supply side of the economy which are more likely to achieve the objectives of low unemployment in the long term and noninflationary economic growth.
N
Evaluate the importance of the supply side of the UK economy in achieving these objectives. (25 marks) Specimen
Full details of these papers and mark schemes are also available at
http://web.aqa.org.uk/qual/gce/business/economics_materials.php?id=05&prev=05