Aggregate demand

Explain one benefit to train operating companies (TOCs) of leasing the trains.

Using a supply and demand diagram, illustrate the impact on the market for rail travel from a decrease in bus fares.

Using Extract B, calculate to two decimal places, the percentage of total income for the rail industry that came from government subsidies between April 2023 and March 2024. You are advised to show your working.

Analyse two possible reasons why the UK Government subsidises rail travel.

Using Extract C, discuss the power that train drivers have in the labour market.

Using Extract D, assess the impact on consumers of Avanti West Coast having a monopoly on its routes.

Assess whether the investment into a new railway line between Birmingham and Manchester can reduce geographical immobility.

UK train manufacturers have urged the government to buy more trains.

Assess the possible benefits to the UK economy if the UK Government buys more trains.

Explain one reason why an increase in market share might be an important business objective for TUI.

Using a supply and demand diagram, illustrate the impact on the market for global travel after travel restrictions have been removed for consumers.

Using Extract B calculate, to two decimal places, the operating profit margin for TUI in Q3 2023. You are advised to show your working.

Many airlines are now investing in aircraft that are more fuel efficient and use low‑carbon jet fuel in a bid to reach net‑zero carbon emissions by 2050.

Using a supply and demand diagram, analyse the likely impact on the market for air travel of improvements in aircraft technology.

Discuss the likely impact of the wildfires in Rhodes on TUI ’s break-even level of output.

Assess the possible benefits of market mapping for TUI.

Using Extract D, assess the possible impact of changes in UK interest rates on holiday firms such as TUI.

Assess the likely impact from the growth of the travel and tourism sector on aggregate demand (AD) in the UK.

Using the data from Extract A, calculate to two decimal places the UK GDP per capita for 2017. You are advised to show your working.

Sector
Average hourly wage

Figure 1 shows the average hourly wage for different sectors of the UK economy in 2021.

Calculate the median hourly wage for the service sector only. You are advised to show your workings.

Using the data in Extract D, calculate the difference in the percentage change in labour productivity for the UK and Denmark between 2015 and 2018. You are advised to show your working.

Analyse two factors influencing labour productivity in either Denmark or the UK.

Discuss the likely impact of low productivity on economic growth in the UK between 2015 and 2018.

Assess the usefulness of the GINI coefficient as a measure of absolute and relative poverty.

The UK has a legal minimum wage. Denmark has no legal minimum wage.

Assess the impact of a minimum wage on income inequality.

With reference to Extract B and using a suitable diagram, assess the likely economic impact of the level of investment in Denmark.

Using the data from Extract C, calculate, to two decimal places, the mean rate of unemployment in Scotland between 2008 and 2018.

In August 2018, the seasonally adjusted claimant count for Scotland was 2.7%.

With reference to Extract C, explain one reason why the claimant count may be different to the International Labour Organisation (ILO) measure of unemployment in Scotland.

Explain one external cost caused by mass tourism to the city of Edinburgh.

With reference to Extract B, analyse the impact of the tourism industry on two components of aggregate demand (AD) in Scotland.

Discuss the likely impact of the Transient Visitor Levy (TVL) on tourism in Edinburgh.

With reference to Extract D, assess the likely impact of foreign-owned firms on the circular flow of income in Scotland.

Assess the likely impact of the falling rate of unemployment between 2010–2018 on firms in Scotland.

GDP per capita in Scotland increased from £23 720 in 2008 to £29 800 in 2018.

Assess whether this increase in GDP per capita is likely to improve living standards for everyone in Scotland.

Using the data from Extract A, calculate the balance of trade in goods for the UK in 2013. You are advised to show your working.

Explain how exporters may benefit from economies of scale. (Extract C, Lines 6-7)

Using data from Extract A, explain one reason why the UK economy can be described as developed.

Analyse why the owners of AngelBerry advise that it is ‘essential to carry out thorough research before you start exporting’.

Using a suitable diagram, discuss the likely impact of increasing net exports on the UK economy.

Assess the merits of AngelBerry ’s decision to focus upon developing economies for its growth.

Part of the £3.4m investment in the Teesside deep-water quay was provided by the UK Government.

Assess the likely impact of the investment on the local economy.

Assess the likely effectiveness of using fiscal policy to reduce the deficit in the UK balance of trade in goods.