AS & A Level Economics (9708) — May–June 2025, Paper 42

5 questions · every question answerable online with instant point-by-point AI marking against the official mark scheme.

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Question 1 · 20 marks · Government microeconomic intervention - economic sustainability and the environment

Define economic sustainability and give one example from the information of a change that can be used to illustrate it.

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Question 2 · 20 marks · The price system and the microeconomy - monopoly and government intervention

Monopolies restrict output to raise prices to exploit consumers. With the help of a diagram, assess the extent to which a government should intervene in monopoly markets. [20]

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Question 3 · 20 marks · The macroeconomy / labour markets - perfectly and imperfectly competitive labour markets

With the help of a diagram, assess whether the impact of an increase in labour productivity on the wages and employment of a firm is likely to be greater in a perfectly…

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Question 4 · 20 marks · The macroeconomy - the circular flow of income, monetary policy and employment

With the help of an injections and withdrawals graph, assess the impact of a decrease in interest rates on the level of employment in an economy. [20]

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Question 5 · 20 marks · International economic issues - globalisation and standards of living

Globalisation will have an equally beneficial effect on the standard of living in both high-income and low-income countries. Evaluate this statement. [20]

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