Write your name here
Surname Other names
Centre Number Candidate Number
Pearson Edexcel
Level 3 GCE
Economics B
Advanced
Paper 3: The economic environment and
business
Monday 19 June 2017 – Afternoon Paper Reference
Time: 2 hours 9EB0/03
You must have: Total Marks
Insert (enclosed)
Instructions
• Use black ink or ball-point pen.
• Fill in the boxes at the top of this page with your name,
centre number and candidate number.
• Answer allthequestions.
Answer
• – there may bequestions in the spaces provided
more space than you need.
Information
• The total mark for this paper is 100.
• T–heusemarks for each question are shown in brackets
this as a guide as to how much time to spend on each question.
• Calculators may be used.
Advice
• Read each question carefully before you start to answer it.
• Try to answer every question.
• Check your answers if you have time at the end.
Turn over
P52141A
©2017 Pearson Education Ltd.
*P52141A0124*
1/1/1/1
, Answer ALL questions.
SECTION A
Read the following extracts (A to C) and Figures 1, 2 and 3 before answering Question 1.
Write your answers in the spaces provided.
Extract A
McKinsey: Obesity costs UK society £51bn per year
Overweight or obese people are a major global problem. According to a recently
released report from McKinsey & Company, obesity costs the world economy $2tn every
year. However, it is not just a global issue. According to McKinsey & Company the burden
on the UK economy amounts to £51bn a year or 3% of GDP, making it the second largest
health liability of the UK economy after smoking. If adequate measures are not taken, the 5
cost to the UK will continue to increase.
(Source: adapted from © Consultancy.uk)
Share of
Annual economic impact UK GDP
Selected global social issues GDP at current pounds, £ billion %
Smoking 63 3.6
Obesity 51 3.0
Armed violence, war, and terrorism 47 2.5
Illiteracy 34 2.0
Alcoholism 31 1.8
Drug use 24 1.4
Outdoor air pollution 20 1.1
Climate change 16 0.9
Road accidents 10 0.6
Workplace risks 10 0.6
Child and maternal undernutrition 2 0.1
Unsafe sex 1 0.1
Poor water and sanitation 1 0.0
(Source: ‘McKinsey Quarter’)
Figure 1
Annual economic impact of selected social issues, UK, 2012
2
, Extract B
The medical costs
In the UK, the government currently spends about £6bn a year on the direct medical
costs of conditions related to being overweight or obese. That is 5% of the entire budget
of the National Health Service (NHS). These costs are expected to rise. By 2030, the
estimate is for obesity to cost the NHS between £10bn and £12bn.
The social costs
The McKinsey report finds that there is an inverse correlation in the UK between obesity 5
and different measures of socioeconomic status, including household income, the
occupational status of the parent, educational achievement, and a measure of area
deprivation. The prevalence of obesity is almost double among women with unskilled
occupations (35.2%) than among professional women (18.2%). The most prevalent
correlation for men is from education, with the more highly educated being generally 10
less overweight. Children in the bottom decile of most deprived areas are twice as likely
to be obese as children in the decile of least deprived areas.
(Source: adapted from © Consultancy.uk)
3
Surname Other names
Centre Number Candidate Number
Pearson Edexcel
Level 3 GCE
Economics B
Advanced
Paper 3: The economic environment and
business
Monday 19 June 2017 – Afternoon Paper Reference
Time: 2 hours 9EB0/03
You must have: Total Marks
Insert (enclosed)
Instructions
• Use black ink or ball-point pen.
• Fill in the boxes at the top of this page with your name,
centre number and candidate number.
• Answer allthequestions.
Answer
• – there may bequestions in the spaces provided
more space than you need.
Information
• The total mark for this paper is 100.
• T–heusemarks for each question are shown in brackets
this as a guide as to how much time to spend on each question.
• Calculators may be used.
Advice
• Read each question carefully before you start to answer it.
• Try to answer every question.
• Check your answers if you have time at the end.
Turn over
P52141A
©2017 Pearson Education Ltd.
*P52141A0124*
1/1/1/1
, Answer ALL questions.
SECTION A
Read the following extracts (A to C) and Figures 1, 2 and 3 before answering Question 1.
Write your answers in the spaces provided.
Extract A
McKinsey: Obesity costs UK society £51bn per year
Overweight or obese people are a major global problem. According to a recently
released report from McKinsey & Company, obesity costs the world economy $2tn every
year. However, it is not just a global issue. According to McKinsey & Company the burden
on the UK economy amounts to £51bn a year or 3% of GDP, making it the second largest
health liability of the UK economy after smoking. If adequate measures are not taken, the 5
cost to the UK will continue to increase.
(Source: adapted from © Consultancy.uk)
Share of
Annual economic impact UK GDP
Selected global social issues GDP at current pounds, £ billion %
Smoking 63 3.6
Obesity 51 3.0
Armed violence, war, and terrorism 47 2.5
Illiteracy 34 2.0
Alcoholism 31 1.8
Drug use 24 1.4
Outdoor air pollution 20 1.1
Climate change 16 0.9
Road accidents 10 0.6
Workplace risks 10 0.6
Child and maternal undernutrition 2 0.1
Unsafe sex 1 0.1
Poor water and sanitation 1 0.0
(Source: ‘McKinsey Quarter’)
Figure 1
Annual economic impact of selected social issues, UK, 2012
2
, Extract B
The medical costs
In the UK, the government currently spends about £6bn a year on the direct medical
costs of conditions related to being overweight or obese. That is 5% of the entire budget
of the National Health Service (NHS). These costs are expected to rise. By 2030, the
estimate is for obesity to cost the NHS between £10bn and £12bn.
The social costs
The McKinsey report finds that there is an inverse correlation in the UK between obesity 5
and different measures of socioeconomic status, including household income, the
occupational status of the parent, educational achievement, and a measure of area
deprivation. The prevalence of obesity is almost double among women with unskilled
occupations (35.2%) than among professional women (18.2%). The most prevalent
correlation for men is from education, with the more highly educated being generally 10
less overweight. Children in the bottom decile of most deprived areas are twice as likely
to be obese as children in the decile of least deprived areas.
(Source: adapted from © Consultancy.uk)
3
