OCR A Level Economics Macroeconomics June 2025 question paper H460/02

Using information from the stimulus material, identify two reasons for imposing export tariffs.

Using Fig. 1, explain how Bolivia’s level of development compared to Argentina’s level of development in 2021.

Calculate Bolivia’s index of average import prices in 2021.

Using information from the stimulus material, evaluate whether Bolivia should keep a fixed exchange rate.

* Using information from the stimulus material, evaluate whether Bolivia’s income tax revenue is likely to increase in the future.

2* In February 2023, the Bank of England raised the base rate of interest from 3.5% to 4%. There were concerns that this could reduce the country’s economic growth rate.

Evaluate, with the use of an appropriate diagram(s), whether there is a conflict between the two

economic objectives of low inflation and full employment.

3* In January 2023, Japan had an unemployment rate of 2.4%. It was considered to be achieving full employment.

Evaluate, with the use of an appropriate diagram(s), whether achieving full employment will

benefit an economy.

4* The Central African Republic has a very uneven distribution of income and a low Human Development Index (HDI) value.

Evaluate whether a very uneven distribution of income will result in a country having a low HDI

value.

5* In 2023 the BRICS (Brazil, Russia, India, China and South Africa) overtook the G7 countries in their share of world GDP.

Evaluate whether the UK government should increase trade restrictions on the BRICS.