OCR A-level Paper 3, June 2024

1. AInterest
2. BProfit
3. CRent
4. DWages

1. A£90 billion
2. B£100 billion
3. C£250 billion
4. D£375 billion

TopicAggregate demandNational income and the circular flow

1. ADivisibility
2. BDurability
3. CLimited supply
4. DUnit of account

TopicThe economic problem and resource allocation

1. AAn increase in government spending leads to a fall in private sector investment
2. BThe process by which government spending and tax revenue vary with the economic cycle
3. CThe transfer of an organisation from public sector ownership and control to private sector ownership and control
4. DWhen monetary policy becomes ineffective as households prefer to save even though interest rates are very low

TopicMacroeconomic objectives and policyAggregate demandEconomic growth and the economic cycle

1. AStrong complements
2. BStrong substitutes
3. CWeak complements
4. DWeak substitutes

TopicDemand, supply and elasticity

1. ADecrease Increase Increase
2. BDecrease Increase Unchanged
3. CIncrease Decrease Unchanged
4. DUnchanged Unchanged Increase

TopicCosts, revenues and profitMarket structures

1. AW
2. BX
3. CY
4. DZ

1. AHigh entry barriers, differentiated goods, many firms
2. BLow entry barriers, differentiated goods, normal profit in the long run
3. CLow entry barriers, few firms, normal profit in the long run
4. DLow entry barriers, many firms, supernormal profit in the long run

TopicCosts, revenues and profitMarket structures

TopicAggregate demandDemand, supply and elasticity

1. AUK firm imports oranges from Portugal. 200 kg of oranges costs the firm 300 euros. The exchange rate is £1 Sterling to 1.2 euros. How much does 400 kg of oranges cost the firm in £ Sterling? A £250
2. B£360
3. C£500
4. D£72

TopicInternational trade and exchange rates

1. AAC = AR
2. BAC = MC
3. CMC = MR
4. DMR = 0

TopicCosts, revenues and profitMarket structures

1. Aworker is paid £12 per hour to assemble bicycle parts in a factory. The worker's productivity increases from 20 units per hour to 24 units per hour. What is the change in the unit labour cost to the firm? A Decreases by £0.10
2. BDecreases by £0.33
3. CDecreases by £0.50
4. DIncreases by £0.83

1. AEconomic rent
2. BMarginal revenue product
3. CTransfer earnings
4. DWages

TopicThe labour marketCosts, revenues and profitDemand, supply and elasticity

1. AMV = PY
2. BMY = PV
3. CPM = YV
4. DPV = MY

TopicMeasuring economic performanceMacroeconomic objectives and policy

1. AA depreciation in the exchange rate will decrease the government's budget deficit
2. BA depreciation in the exchange rate will increase the government's budget deficit
3. CDemand for exports and imports is price elastic in the short run
4. DDemand for exports and imports is price inelastic in the short run

TopicInternational trade and exchange ratesMacroeconomic objectives and policyDemand, supply and elasticity

1. AIndirect
2. BProgressive
3. CProportional
4. DRegressive

TopicGovernment intervention in markets

TopicPoverty and inequality

1. AP V Z
2. BP V W P1
3. CP1 W X
4. DP1 W Z

TopicDemand, supply and elasticity

1. AExports
2. BImports
3. CInvestment
4. DWage

TopicNational income and the circular flowInternational trade and exchange ratesAggregate demand

1. ABuyers and sellers have different information which results in market failure
2. BFirms or households are more likely to take risks if they are insured against any negative impact of their actions
3. CGoods are under demanded by consumers and therefore underprovided by markets
4. DPeople are able to consume a good without paying for it

TopicMarket failureThe financial sector

1. AW
2. BX
3. CY
4. DZ

TopicCosts, revenues and profit

1. Afirm wants to use third degree price discrimination. Which of these factors would make it difficult for the firm to adopt this strategy successfully? A All consumers have the same price elasticity of demand for the good
2. BConsumers from the lower price market are not able to sell to consumers from the higher price market
3. CThe firm is able to segment the market
4. DThe firm operates under imperfect competition

TopicDemand, supply and elasticityMarket structures

1. AV+W+X+Y
2. BV+X+Z
3. CW+X+Y
4. DW+Y–Z

TopicInternational trade and exchange rates

1. ACentral bank reserves
2. BSight deposits
3. CNotes and coins
4. DTime deposits

TopicThe financial sector

1. Amaximum price for rent is imposed in the London housing market. What is the likely impact? A A decrease in consumer surplus
2. BAn excess demand for rental housing
3. CAn increase in government tax revenue
4. DAn increase in producer surplus

TopicDemand, supply and elasticityGovernment intervention in marketsMacroeconomic objectives and policy

1. AFreedom of entry and exit
2. BHomogenous goods
3. CMany firms
4. DPrice discrimination

TopicMarket structures

1. AA decrease in consumer confidence
2. BA reduction in income tax rates
3. CAn increase in corporation tax rates
4. DAn increase in the price of oil

TopicAggregate demandGovernment intervention in marketsMeasuring economic performance

1. ACosts of environmental degradation
2. BGNI per capita
3. CLiteracy rates
4. DPopulation with no access to health services

TopicGrowth and developmentMeasuring economic performance

1. AAn increase in access to healthcare that is free at the point of use
2. BAn increase in the inheritance tax rate
3. CAn increase in the market power and influence of large firms
4. DNew legislation that protects workers from discrimination based on their race or gender

TopicPoverty and inequality

1. APrimary income
2. BSecondary income
3. CTrade in goods
4. DTrade in services

TopicInternational trade and exchange ratesGrowth and developmentMeasuring economic performance

TopicBusiness growth and objectives

TopicAggregate supplyCompetition policy and regulation

TopicMarket structures

TopicMeasuring economic performance

TopicMacroeconomic objectives and policyMeasuring economic performance

TopicGrowth and development