Case study
Water Gets Competitive
In the extracts: England and Wales, General Election, Ofwat, CMA, United Utilities and Welsh, Water Gets Competitive, South West Water, Northumbrian, Severn Trent, Labour Party
Q1(a)2 marks
Using the data, describe how an increase in the percentage of households in water poverty has occurred.
TopicCompetition policy and regulationMeasuring economic performanceBusiness growth and objectives
Q1(b)Evaluate8 marks
Evaluate the effects of vertical and horizontal integration for a firm.
Mark splitKnowledge 2Analysis 2Evaluation 4
TopicBusiness growth and objectives
Q1(c)8 marks
Using the concept of marginal utility, discuss the extent to which replacing a fixed charge for water with water meters in a home will reduce water consumption.
Mark splitApplication 2Analysis 2Evaluation 4
TopicAggregate demand
Q1(d)4 marks
(i) Calculate the national average water bill in 2020. (ii) Calculate the percentage change in the average Anglian water bill between 2015 and 2020. (iii) In what circumstances will the average water bill fall in real terms between 2015 and 2020?
TopicCompetition policy and regulationMeasuring economic performanceBusiness growth and objectives
Q1(e)8 marks
Using a diagram, consider the extent to which a rise in variable costs for the water companies would affect price, output and profits.
Mark splitKnowledge 4Analysis 2Evaluation 2
TopicCosts, revenues and profit
Q1(f)10 marks
With reference to the water supply sector, evaluate the effects of privatisation on competition and efficiency.
Mark splitApplication 3Analysis 3Evaluation 4
TopicCompetition policy and regulation
Case study
From dictatorship to the EU. The curious case of Albania
In the extracts: Albania, Germany, Italy, PPP, GNI, Transparency International Corruption
Q2(a)8 marks
Using the data and production possibility diagrams in each case, outline the opportunity cost of Albania's military bunker building programme: (i) in the short run (ii) in the long run
TopicThe economic problem and resource allocation
Q2(b)10 marks
(i) Outline the difference between GNI/GNP per capita and GDP per capita. (ii) Using the data, explain the likely reasons for the trends in Albania's GNI per capita in Source 1: (I) Between 1990 and 1992 (II) From 1992 onwards
TopicMeasuring economic performance
Q2(c)10 marks
With reference to Sources 2 and 3, discuss the extent to which it is reasonable to claim that "Albania's overall level of economic development is very similar to that of Croatia". (lines 43-44)
Mark splitApplication 3Analysis 3Evaluation 4
Q2(d)12 marks
Using the information in the case study, discuss whether EU membership "will help Albania to make the jump to 'very high' levels of human development". (lines 45-46)
Mark splitApplication 4Analysis 4Evaluation 4
