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AQA_AS Economics Paper 2_Question Paper_2019 | ECON 3140_THE NATIONAL ECONOMY IN A GLOBAL CONTEXT

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AQA_AS Economics Paper 2_Question Paper_2019 | ECON 3140_THE NATIONAL ECONOMY IN A GLOBAL CONTEXT AS ECONOMICS Paper 2 The national economy in a global context Thursday 16 May 2019 Morning Time allowed: 1 hour 30 minutes Materials For this paper you must have: • the insert • a calculator. Instructions • Use black ink or black ball-point pen. Pencil should only be used for drawing. • Fill in the boxes at the top of this page. • Answer all questions in Section A. • Answer either Context 1 or Context 2 in Section B. • 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 book. Cross through any work you do not want to be marked. Information • There are 70 marks available on this paper. • The marks for questions are shown in brackets. • No deductions will be made for wrong answers. *jun* IB/M/Jun19/E10 7135/2 Section A Answer all questions in this section. box When an economy goes into a recession, there is most likely to be a A growing balance of payments deficit. B positive output gap. C reduction in real GDP. D rise in inflation. 攨 [1 mark] Economic growth in the US increases from 2% to 5% a year. This is most likely to represent for the UK a A negative demand-side shock. B negative supply-side shock. 喜造 fingn 煎 RV Which one of the following is a true statement about the Labour Force Survey (LFS) measure of unemployment? The LFS measure of unemployment includes A part-time workers who would like to work full-time. box B people who are claiming unemployment benefits. C people who would like a job but who are not currently looking for one. D students at university searching for a job starting after they have graduated. [1 mark] union AL tax year ending April 2018. o Totally 0点 The government has set a proportional income tax rate of 25% and a tax on all expenditure of 15%. Which one of the following statements is true? During the tax year ending April 2018 the A burden of total tax, measured as a percentage of income, was highest for Jennie. B gap in income between Meshaal and Thavid remained the same before and after paying income tax. C tax on expenditure was not regressive as all four workers faced the same rate of tax. D worker who made the greatest contribution to government tax revenue was Alice. nrgressieproqreg.DE 003 [1 mark] Turn over for the next question The government of an economy implements an expansionary fiscal policy, increasing government spending and cutting taxes. In the short run, such a policy is likely to result in a conflict between which of the following macroeconomic objectives? A Increasing economic growth and reducing unemployment. box B Preventing deflation and reducing the surplus on the current account of the balance of payments. C Preventing deflation and reducing unemployment. D Reducing the deficit on the current account of the balance of payments and increasing economic growth. [1 mark] The diagram below shows the multiplier effect of an increase in investment that at first causes aggregate demand (AD) to shift from AD0 to AD1 and subsequently to AD2. 煕 Which one of the following shows the size of the multiplier effect that has occurred? A Y0 Y1 divided by Y0 Y2 B Y0 Y2 divided by Y0 Y1 C Y0 Y2 divided by Y1 Y2 D Y1 Y2 divided by Y0 Y1 [1 mark] Many firms use profits to finance their capital investment instead of borrowing from banks. For these firms, higher interest rates are most likely to

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AQA_AS Economics Paper 2_Question Paper_2019 | ECON 3140_THE
NATIONAL ECONOMY IN A GLOBAL CONTEXT



Please write clearly in block capitals.


Centre number Candidate number


Surname

Forename(s)

Candidate signature




AS
ECONOMICS
Paper 2 The national economy in a global context


Thursday 16 May 2019 Morning Time allowed: 1 hour 30 minutes
Materials
For Examiner’s
For this paper you must have: Use
 the insert
Sectio Mark
 a calculator. n
A
Instructions
 B
Use black ink or black ball-point pen. Pencil should only be used for drawing.
 Fill in the boxes at the top of this page. TOTAL
 Answer all questions in Section A.
 Answer either Context 1 or Context 2 in Section B.
 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 book. Cross through any work you do not
want to be marked.

Information
 There are 70 marks available on this paper.
 The marks for questions are shown in brackets.
 No deductions will be made for wrong answers.

,*jun197135201*
IB/M/Jun19/E10 7135/2

, 2
Do not writ
outside the
Section A 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 When an economy goes into a recession, there is most likely to be a


A growing balance of payments deficit.

B positive output gap.

C reduction in real GDP.

D rise in inflation.




攨⼀
[1 mark]


0 2 Economic growth in the US increases from 2% to 5% a year. This is most likely to


喜造
represent for the UK a


A negative demand-side fingn 簋
shock.

B negative supply-side

shock.
⼀⼀




RV unempg.eu
C positive demand-side 上

D positive supply-side shock.

oil price ADb [1
mark]




Turn over

*02

, 3
Do not write
outside the
0 3 Which one of the following is a true statement about the Labour Force box

Survey (LFS) measure of unemployment? The LFS measure of
unemployment includes


A part-time workers who would like to work full-time.

B people who are claiming unemployment benefits.





C people who would like a job but who are not currently
looking for one.

D students at university searching for a job starting after
they have graduated.
[1 mark]

union
0 4

AL
The table shows income and expenditure on goods and services for four
workers for the




Totally tax year ending April 2018.
Worker

Alice
Income
£
56 000
o Expenditure
£
27 000
Jennie 17 000 19 000




4
Meshaal 45 000 35 000





Thavid 100 000 21 000 0
The
a taxgovernment
on all has set a proportional income tax rate of 25% and
expenditure of 15%. Which one of the following statements is true?

During the tax year ending April 2018 the
003
A A burden of total tax, measured as a percentage of
income, was highest for Jennie.

B gap in income between Meshaal and Thavid remained
the same before and after paying income tax.

C tax on expenditure was not regressive as all four
workers faced the same rate of tax.

D worker who made the greatest contribution to
government tax revenue was Alice.
[1 mark]

nrgressieproqreg.DE
Turn over for the next question


Turn over



*03

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