AQA A-LEVEL ECONOMICS PAPER 3 VERIFIED SOLUTION
Please write clearly in block capitals.
Centre Candidate
number number
Surname
Forename(s)
Candidate ure
A-level
ECONOMICS
Paper 3 Economic principles and
issues
Tuesday 4 June 2019 Morning Time allowed: 2 hours
Materials
For this paper you must have: For Examiner’s Use
the insert
Section Mark
a calculator.
A
Instructions B
Answer all questions.
Use black ink or black ball-point pen. Pencil should only be TOTAL
used for drawing.
Fill in the boxes at the top of this page.
You will need to refer to the insert provided to answer Section B.
You must answer the questions in the spaces provided. Do
not write outside the box around each page or on blank
pages.
Do all rough work in this answer book. Cross through any work that you
do not want to be marked.
Information
The maximum mark for this paper is 80.
The marks for questions are shown in brackets.
No deductions will be made for wrong answers.
,*jun197136301*
IB/M/Jun19/E14 7136/3
, 2
Do not
write
Section A outside the
box
Answer all questions in this
section.
Only one answer per question is allowed.
For each answer completely fill in the circle alongside the appropriate answer.
CORRECT METHOD WRONG METHODS
If you want to change your answer you must cross out your original answer as shown.
If you wish to return to an answer previously crossed out, ring the answer you now wish to select
as shown.
0 1 A monopolistically competitive firm’s demand curve is
A also the market demand curve.
B inelastic throughout its length.
C the firm’s average revenue curve.
D the same as its marginal revenue curve.
[1 mark]
*02
IB/M/
* Jun19/7136/3
, 3
Do not
write
0 2 The table below contains selected data on a country’s macroeconomic outside
box the
performance over a 20 year period.
Balance of trade
Unemployment Rate of inflation on current
Year
(%) (%) account
($ bn)
1998 6.0 3.5 –20
2003 5.8 3.0 –19
2008 5.5 2.5 –12
2013 5.2 2.0 –2
2018 5.0 1.5 +3
All other things being equal, which one of the following, A, B, C or D, can be
inferred from the above data?
A The natural rate of unemployment is falling
B The price level is increasing more slowly
C The volume of exports is increasing
D There is an inverse relationship between
unemployment and inflation
[1 mark]
0 3 Which one of the following is most likely to result in complete market failure?
A Negative externalities in production and consumption
B Non-excludability and no enforceable property rights
C The existence of demerit goods in some markets
D The government setting maximum prices for excludable
and rival goods
[1 mark]
Turn over for the next question
Turn over ►
*03
IB/M/
* Jun19/7136/3
Please write clearly in block capitals.
Centre Candidate
number number
Surname
Forename(s)
Candidate ure
A-level
ECONOMICS
Paper 3 Economic principles and
issues
Tuesday 4 June 2019 Morning Time allowed: 2 hours
Materials
For this paper you must have: For Examiner’s Use
the insert
Section Mark
a calculator.
A
Instructions B
Answer all questions.
Use black ink or black ball-point pen. Pencil should only be TOTAL
used for drawing.
Fill in the boxes at the top of this page.
You will need to refer to the insert provided to answer Section B.
You must answer the questions in the spaces provided. Do
not write outside the box around each page or on blank
pages.
Do all rough work in this answer book. Cross through any work that you
do not want to be marked.
Information
The maximum mark for this paper is 80.
The marks for questions are shown in brackets.
No deductions will be made for wrong answers.
,*jun197136301*
IB/M/Jun19/E14 7136/3
, 2
Do not
write
Section A outside the
box
Answer all questions in this
section.
Only one answer per question is allowed.
For each answer completely fill in the circle alongside the appropriate answer.
CORRECT METHOD WRONG METHODS
If you want to change your answer you must cross out your original answer as shown.
If you wish to return to an answer previously crossed out, ring the answer you now wish to select
as shown.
0 1 A monopolistically competitive firm’s demand curve is
A also the market demand curve.
B inelastic throughout its length.
C the firm’s average revenue curve.
D the same as its marginal revenue curve.
[1 mark]
*02
IB/M/
* Jun19/7136/3
, 3
Do not
write
0 2 The table below contains selected data on a country’s macroeconomic outside
box the
performance over a 20 year period.
Balance of trade
Unemployment Rate of inflation on current
Year
(%) (%) account
($ bn)
1998 6.0 3.5 –20
2003 5.8 3.0 –19
2008 5.5 2.5 –12
2013 5.2 2.0 –2
2018 5.0 1.5 +3
All other things being equal, which one of the following, A, B, C or D, can be
inferred from the above data?
A The natural rate of unemployment is falling
B The price level is increasing more slowly
C The volume of exports is increasing
D There is an inverse relationship between
unemployment and inflation
[1 mark]
0 3 Which one of the following is most likely to result in complete market failure?
A Negative externalities in production and consumption
B Non-excludability and no enforceable property rights
C The existence of demerit goods in some markets
D The government setting maximum prices for excludable
and rival goods
[1 mark]
Turn over for the next question
Turn over ►
*03
IB/M/
* Jun19/7136/3
