Unit 2: Macroeconomic performance and policy · WEC12/01

Edexcel International AS Unit 2, June 2024

All 12 written questions and 6 multiple choice questions from Edexcel International AS Unit 2 (June 2024), Macroeconomic performance and policy. Case studies: The economy of Ireland. Each question shows its marks and topic, and opens the question paper and mark scheme at the right page.

Question paperMark schemeExaminer report

Section A

Q11 mark
Which one of the following is most likely to occur when an economy is in a recession?
  1. AA rise in investment and a rise in the profits of firms
  2. BA fall in government expenditure and a rise in real income
  3. CA rise in consumer confidence and a fall in the unemployment rate
  4. DA fall in government tax revenues and a fall in real output
Show the answer

The answer is D.

TopicAggregate demand

Question paper p.2Mark scheme p.3Open in the tool
Q41 mark
Which one of the following is the most likely reason for this increase in the balance of trade deficit for Honduras?
  1. AA decrease in its rate of inflation relative to its trading partners
  2. BAn increase in the external value of its currency
  3. CA decrease in the real incomes of its citizens
  4. DAn increase in the quality of its goods and services
Show the answer

The answer is B.

TopicMeasures of economic performance

Question paper p.3Mark scheme p.3Open in the tool
Q51 mark
Which one of the following is the most likely effect of this increase in the unemployment rate?
  1. AAn increase in national happiness in Sri Lanka
  2. BAn increase in the level of profits for firms in Sri Lanka
  3. CA decrease in tax revenues for Sri Lanka's Government
  4. DA decrease in welfare payments by Sri Lanka's Government
Show the answer

The answer is C.

TopicMeasures of economic performance

Question paper p.3Mark scheme p.3Open in the tool
Q61 mark
Which one of the following can be deduced from the table?
  1. AExisting homeowners experienced negative wealth effects
  2. BExisting homeowners experienced an increase in consumer confidence
  3. CBetween November 2022 and January 2023 average house prices fell by 0.52%
  4. DT here will be a greater incentive for construction companies to build new houses
Show the answer

The answer is A.

TopicAggregate demand

Question paper p.4Mark scheme p.4Open in the tool

Section B

Section C

Case study

The economy of Ireland

Extracts: Figure 1: Annual real GDP growth rate (%), 2013 to 2022 · Figure 2: Annual real GDP growth rate (%) for selected countries, 2022 · Extract A: Limitations of using GDP · Figure 1: adapted from tradingeconomics, · Figure 2: adapted from FT, · Extract A: adapted from FT,

In the extracts: China EU UK India, Germany USA Euro, Saudi Arabia Ireland, Ireland's GDP, GNI, Annual, Apple, European, According, Economists

Section D

Question text is quoted from the question papers, © Pearson Edexcel, for students’ private study. Open the official papers and mark schemes from the links on each question. Examiner insights are written with AI assistance and moderated by Finn.