AQA A Level Economics Paper 2: National and international economy June 2024 question paper 7136/2

Using the data in Extract A, calculate the ratio of the UK’s GDP per hour worked to $1 of GDP per hour worked in Hungary.

Give your answer to two decimal places.

Explain how the data in Extract A show that higher productivity may result in higher living standards.

Extract C (lines 4–5) states ‘Energy and food bills had risen dramatically due to shocks to the economy, such as labour shortages, a depreciation of the pound…’

With the help of a diagram, explain how a depreciation of the pound may cause inflation.

Extract B (lines 4–5) states: ‘Historically, productivity has increased over time, which has contributed to real wage rises and improved living standards.’

Using the data in the extracts and your knowledge of economics, assess the view that the government should make raising productivity a priority in order to improve living standards in the UK.

Do not answer Context 2 if you have answered Context 1.

Using the data in Extract D, calculate the percentage change in Vietnam’s GDP per capita between the years 2010 and 2021. Give your answer to one decimal place.

Explain how the data in Extract D show that Vietnam may have outperformed the other selected Southeast Asian economies between 2010 and 2021.

Extract E (lines 17–18) states: ‘A low rate of corporation tax has also contributed to both short-run and long-run economic growth.’ With the help of a diagram, explain how a low rate of corporation tax may cause short-run and long-run economic growth.

Extract F (lines 19–20) states: ‘The slowing, or reversal, of globalisation could mean that the benefits of specialisation and foreign direct investment are lost.’ Using the data in the extracts and your knowledge of economics, discuss the view that a slowing, or reversal, of globalisation would be harmful to developing economies such as Vietnam.

Explain possible reasons why a country may enter a recession.

Assess whether an increase in the money supply is always damaging for an economy.

Explain the factors which determine the natural rate of unemployment.

Discuss the view that high levels of employment are always beneficial for an economy.

Explain how the multiplier and accelerator affect the overall level of economic activity.

Evaluate the view that increasing taxation is the best way to reduce a budget deficit.