Eduqas Economics past paper questions: Measuring economic performance

Essay questions on measuring economic performance

Data response questions on measuring economic performance

Short answer questions on measuring economic performance

Multiple choice questions

1. A-level Component 1, June 2025, Q2

   A commodity was priced at $200 per kilo in 2023 and this formed the base year of a price index for this commodity (index in base year = 100). By 2025 the commodity was priced at $320 per kilo. What is the price index for the commodity in…

2. A-level Component 1, June 2025, Q15

   A government announces a significant cut in the rate of value added tax (VAT). Which of the following AD/AS diagrams shows the most likely initial effects of this cut? (Options A to E are diagrams: see the question paper.)

3. A-level Component 1, June 2025, Q16

   The chart in the question paper shows the contribution of energy, food, goods and services to the annual inflation rate in the United States and the euro area in June 2023 (percentage points). It can be concluded that:

4. A-level Component 1, June 2025, Q19

   The diagram in the question paper shows an economy's actual and potential GDP over time, with points 1 to 6 marked. Which movement shows an increase in an economy's negative output gap?

5. A-level Component 1, June 2024, Q7

   According to the Phillips curve, in the short run:

6. A-level Component 1, June 2024, Q9

   The table below shows Consumer Prices Index (CPI) data for five countries (May 2021, May 2022). Brazil: 5740, 6410. Chile: 109, 122. Honduras: 355, 387. UK: 110, 120. USA: 269, 292. Which of the countries in the table had the highest rate…

7. A-level Component 1, June 2024, Q12

   In 2021 smartwatches were added to the basket of goods used to calculate the Consumer Prices Index (CPI), but white chocolate was removed. Which of the following is the most likely explanation for this decision?

8. A-level Component 1, June 2024, Q14

   Some countries have much higher GNP/GNI than GDP. One possible reason for this might be:

9. A-level Component 1, June 2023, Q18

   A government has successfully introduced labour market deregulation. Which diagram represents the impact that would be expected by neo-classical economists? (Options A to E are diagrams: see the question paper.)

10. A-level Component 1, June 2023, Q19

    The table below shows an economy's consumer price index weights (total = 1000) and the inflation rate for each good over the year. Food and drink: weight 250, inflation 10%. Housing: 300, -5%. Leisure: 200, 3%. Communications: 150, 5%…

11. A-level Component 1, June 2022, Q2

    The chart in the question paper shows the UK's CPI between April 2018 and January 2019. Which of the following is true?

12. A-level Component 1, June 2022, Q9

    The chart in the question paper (UK: more people at work) shows the UK unemployment rate and nominal wage inflation from 2006 to 2018. The chart shows that over the period:

13. A-level Component 1, June 2022, Q10

    The table below has information on the US money supply and nominal GDP. Money supply Nominal GDP 2015 $2.9bn $18.0bn 2016 $3.1bn $18.4bn 2017 $3.3bn $19.2bn 2018 $3.5bn $20.0bn 2019 $3.7bn $20.9bn It can be concluded that:

14. A-level Component 1, June 2022, Q16

    The chart in the question paper shows the unemployment rate and the NAIRU (the non-accelerating inflation rate of unemployment) in Australia from 1982 to 2017. The information in the chart suggests that it is most likely that:

15. A-level Component 1, October 2021, Q12

    The table below gives information on the weights of different categories of goods in the Australian CPI (Consumer Price Index). Consumer Price Index – Base Period Expenditure Weights Per cent Expenditure Group 2011 2017 Housing 22.3 22.7…

16. A-level Component 1, October 2021, Q15

    Between 2010 and 2015 the US money supply rose from around $2 tn to around $4 tn. Over the same period, US nominal GDP rose from around $15 tn to around $21 tn. According to the quantity theory of money, which of the following can be…

17. A-level Component 1, October 2020, Q3

    The chart in the question paper gives information on UK nominal wage growth and CPI inflation (annual % change). From the chart, it can be concluded that:

18. A-level Component 1, October 2020, Q14

    The table below gives index numbers of unit labour costs in selected economic areas: Index of unit labour costs, selected economic areas (2010=100) 2010 2014 2015 2016 2017 2018 2019 Brazil 100 95.1 77.3 80.6 91.2 86.0 87.4 China 100 123.8…

19. A-level Component 1, October 2020, Q15

    According to neo-classical economists, an increase in the level of aggregate demand will have which of the following effects in the short run (SR) and long run (LR)?

20. A-level Component 1, October 2020, Q19

    The chart in the question paper shows the EU's share of the world's economy (GDP at PPP) over time, with the dates when new countries joined the EU. Which of the following can be concluded from the chart over the period shown?

21. A-level Component 1, June 2019, Q10

    In a hypothetical economy, consumers divide their purchases between 5 categories of goods. The table shows the weights of those goods in the economy's inflation index and the price index for each good in 2018 (2010 = 100). Food and drink…

22. A-level Component 1, June 2019, Q12

    Suppose that a certain commodity was priced at $120 per tonne in January 2018 and by December 2018 its price had risen to $135 per tonne. Using the January 2018 price as the base, the value of the commodity's index in December 2018 was:

23. A-level Component 1, June 2019, Q17

    The chart in the question paper shows CPI inflation (annual growth rate, %) for the United Kingdom, Italy, Germany and France between January 2011 and October 2017. Over the period shown in the chart, it can be seen that:

24. A-level Component 1, June 2018, Q9

    The chart in the question paper shows the FTSE 100 share index (January 1984 = 1000) between January 1991 and October 2016. What is the approximate percentage change in the FTSE 100 index over the period shown?

25. A-level Component 1, June 2018, Q13

    In the Phillips curve diagram below, the movement from Y to Z is most likely to be explained by: (The diagram shows inflation against unemployment, with short run Phillips curves (SRPC) and the NAIRU, the natural rate of unemployment.)

26. A-level Component 1, June 2017, Q7

    A significant increase in consumer spending is most likely to affect the economy in which of the following ways?

27. A-level Component 1, June 2017, Q9

    Which one of the following is most likely to have caused the shift from SRAS1 to SRAS2 in the diagram below? In the diagram the price level rises from P1 to P2 and real GDP falls from Y1 to Y2.