Component 3: Evaluating Economic Models and Policies · A520U30-1

Eduqas A-level Component 3, June 2017

All 12 written questions from Eduqas A-level Component 3 (June 2017), Component 3: Evaluating Economic Models and Policies. Case studies: Government introduces national living wage, Google extends testing of driverless cars. amazon continues, Uk national debt rises by £5000 per second. unemployment…, Budget 2016: growth forecasts cut for next 5 years, Uk current account deficit reaches 5.2 % of gdp in 2015 and "trade is better than aid". Each question shows its marks and topic, and opens the question paper and mark scheme at the right page.

Question paper Mark scheme Examiner report

Section A

Case study

GOVERNMENT INTRODUCES NATIONAL LIVING WAGE

Q1(a)OptionalExplain10 marks

Explain the factors determining the elasticities of demand and supply of labour.

Mark splitKnowledge 6Analysis 4

TopicThe labour marketDemand, supply and elasticity

Question paper p.2 Mark scheme p.3 Examiner report p.12 Open in the tool

Q1(b)Optional20 marks

With the aid of a diagram, evaluate the likely impacts of statutory minimum wages in labour markets.

Mark splitKnowledge 6Analysis 6Evaluation 8

TopicThe labour marketGrowth and development

Question paper p.2 Mark scheme p.5 Examiner report p.12 Open in the tool

Case study

GOOGLE EXTENDS TESTING OF DRIVERLESS CARS. AMAZON CONTINUES

Q2(a)OptionalExplain10 marks

Explain why firms may not aim to maximise profit and instead pursue other objectives.

Mark splitKnowledge 6Analysis 4

TopicGrowth and development

Question paper p.2 Mark scheme p.7 Examiner report p.12 Open in the tool

Q2(b)Optional20 marks

Markets dominated by large firms, such as Google, Facebook, Apple and Amazon can deliver huge benefits to consumers. To what extent should economists be concerned by highly concentrated markets such as these?

Mark splitKnowledge 6Analysis 6Evaluation 8

TopicGrowth and development

Question paper p.2 Mark scheme p.9 Examiner report p.12 Open in the tool

Section B

Case study

UK NATIONAL DEBT RISES BY £5000 PER SECOND. UNEMPLOYMENT LOWEST SINCE

Q3(a)OptionalExplain10 marks

Explain why recent UK governments have generally been concerned about high levels of public sector debt.

Mark splitKnowledge 6Analysis 4

TopicPublic finances and the role of the stateBusiness growth and objectives

Question paper p.3 Mark scheme p.11 Examiner report p.13 Open in the tool

Q3(b)OptionalEvaluate20 marks

Evaluate the use of supply side reforms in reducing unemployment in the UK.

Mark splitKnowledge 6Analysis 6Evaluation 8

TopicMeasuring economic performance

Question paper p.3 Mark scheme p.12 Examiner report p.13 Open in the tool Practise the AD/AS diagram

Case study

BUDGET 2016: GROWTH FORECASTS CUT FOR NEXT 5 YEARS

Q4(a)OptionalExplain10 marks

Explain some of the policies that could be used to try to increase investment in the UK economy at the present time.

Mark splitKnowledge 6Analysis 4

TopicAggregate demand

Question paper p.3 Mark scheme p.14 Examiner report p.13 Open in the tool Practise the AD/AS diagram

Q4(b)OptionalDiscuss20 marks

Discuss whether an increase in investment is likely to be the most important factor in increasing economic growth in economies such as the UK.

Mark splitKnowledge 6Analysis 6Evaluation 8

TopicAggregate demandEconomic growth and the economic cycle

Question paper p.3 Mark scheme p.16 Examiner report p.13 Open in the tool Practise the AD/AS diagram

Section C

Case study

UK CURRENT ACCOUNT DEFICIT REACHES 5.2 % OF GDP IN 2015

Q5(a)Optional10 marks

What are the possible causes of a current account deficit in the balance of payments?

Mark splitKnowledge 6Analysis 4

TopicMeasuring economic performanceInternational trade and exchange rates

Question paper p.4 Mark scheme p.18 Examiner report p.14 Open in the tool

Q5(b)Optional20 marks

To what extent should a government be concerned by a large current account deficit?

Mark splitKnowledge 6Analysis 6Evaluation 8

TopicInternational trade and exchange ratesMeasuring economic performance

Question paper p.4 Mark scheme p.19 Examiner report p.14 Open in the tool

Case study

"TRADE IS BETTER THAN AID"

Q6(a)OptionalExplain10 marks

Explain, using numerical examples, the difference between comparative and absolute advantage in trade.

Mark splitKnowledge 6Analysis 4

TopicInternational trade and exchange rates

Question paper p.4 Mark scheme p.21 Examiner report p.14 Open in the tool

Q6(b)Optional20 marks

"Trade is better than aid." Discuss the extent to which this is true for less economically developed countries in terms of raising their level of economic development.

Mark splitKnowledge 6Analysis 6Evaluation 8

TopicGrowth and development

Question paper p.4 Mark scheme p.23 Examiner report p.14 Open in the tool

Question text is quoted from the question papers, © WJEC CBAC Ltd (Eduqas), 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.

Section A

GOVERNMENT INTRODUCES NATIONAL LIVING WAGE

GOOGLE EXTENDS TESTING OF DRIVERLESS CARS. AMAZON CONTINUES

Section B

UK NATIONAL DEBT RISES BY £5000 PER SECOND. UNEMPLOYMENT LOWEST SINCE

BUDGET 2016: GROWTH FORECASTS CUT FOR NEXT 5 YEARS

Section C

UK CURRENT ACCOUNT DEFICIT REACHES 5.2 % OF GDP IN 2015

"TRADE IS BETTER THAN AID"

Other years of Eduqas A-level Component 3

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