Cambridge International AS & A Level

ECONOMICS 9708/22
Paper 2 AS Level Data Response and Essays February/March 2025
MARK SCHEME
Maximum Mark: 60

Published

This mark scheme is published as an aid to teachers and candidates, to indicate the requirements of the
examination. It shows the basis on which Examiners were instructed to award marks. It does not indicate the
details of the discussions that took place at an Examiners’ meeting before marking began, which would have
considered the acceptability of alternative answers.

Mark schemes should be read in conjunction with the question paper and the Principal Examiner Report f or
Teachers.

Cambridge International will not enter into discussions about these mark schemes.

Cambridge International is publishing the mark schemes f or the February/March 2025 series f or most
Cambridge IGCSE, Cambridge International A and AS Level components, and some Cambridge O Level
components.

This document consists of 19 printed pages.

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Generic Marking Principles

These general marking principles must be applied by all examiners when marking candidate answers.
They should be applied alongside the specific content of the mark scheme or generic level
descriptions for a question. Each question paper and mark scheme will also comply with these
marking principles.

GENERIC MARKING PRINCIPLE 1:

Marks must be awarded in line with:

• the specific content of the mark scheme or the generic level descriptors for the question
• the specific skills defined in the mark scheme or in the generic level descriptors for the question
• the standard of response required by a candidate as exemplified by the standardisation scripts.

GENERIC MARKING PRINCIPLE 2:

Marks awarded are always whole marks (not half marks, or other fractions).

GENERIC MARKING PRINCIPLE 3:

Marks must be awarded positively:

• marks are awarded for correct/valid answers, as defined in the mark scheme. However, credit
is given for valid answers which go beyond the scope of the syllabus and mark scheme,
referring to your Team Leader as appropriate
• marks are awarded when candidates clearly demonstrate what they know and can do
• marks are not deducted for errors
• marks are not deducted for omissions
• answers should only be judged on the quality of spelling, punctuation and grammar when these
features are specifically assessed by the question as indicated by the mark scheme. The
meaning, however, should be unambiguous.

GENERIC MARKING PRINCIPLE 4:

Rules must be applied consistently, e.g. in situations where candidates have not followed
instructions or in the application of generic level descriptors.

GENERIC MARKING PRINCIPLE 5:

Marks should be awarded using the full range of marks defined in the mark scheme for the question
(however; the use of the full mark range may be limited according to the quality of the candidate
responses seen).

GENERIC MARKING PRINCIPLE 6:

Marks awarded are based solely on the requirements as defined in the mark scheme. Marks should
not be awarded with grade thresholds or grade descriptors in mind.

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Social Science-Specific Marking Principles

(for point-based marking)

1 Components using point-based marking:

• Point marking is often used to reward knowledge, understanding and application of skills.
We give credit where the candidate’s answer shows relevant knowledge, understanding
and application of skills in answering the question. We do not give credit where the answer
shows confusion.

From this it follows that we:

a DO credit answers which are worded differently from the mark scheme if they clearly
convey the same meaning (unless the mark scheme requires a specific term)
b DO credit alternative answers/examples which are not written in the mark scheme if they
are correct
c DO credit answers where candidates give more than one correct answer in one
prompt/numbered/scaffolded space where extended writing is required rather than list -type
answers. For example, questions that require n reasons (e.g. State two reasons …).
d DO NOT credit answers simply for using a ‘key term’ unless that is all that is required.
(Check for evidence it is understood and not used wrongly.)
e DO NOT credit answers which are obviously self -contradicting or trying to cover all
possibilities
f DO NOT give further credit for what is effectively repetition of a correct point already
credited unless the language itself is being tested. This applies equally to ‘mirror
statements’ (i.e. polluted/not polluted).
g DO NOT require spellings to be correct, unless this is part of the test. However spellings of
syllabus terms must allow for clear and unambiguous separation from other syllabus terms
with which they may be confused (e.g. Corrasion/Corrosion)

2 Presentation of mark scheme:

• Slashes (/) or the word ‘or’ separate alternative ways of making the same point.
• Semi colons (;) bullet points (•) or figures in brackets (1) separate different points.
• Content in the answer column in brackets is for examiner information/context to clarify the
marking but is not required to earn the mark (except Accounting syllabuses where they
indicate negative numbers).

3 Calculation questions:
• The mark scheme will show the steps in the most likely correct method(s), the mark for
each step, the correct answer(s) and the mark for each answer
• If working/explanation is considered essential for full credit, this will be indicated in the
question paper and in the mark scheme. In all other instances, the correct answer to a
calculation should be given full credit, even if no supporting working is s hown.
• Where the candidate uses a valid method which is not covered by the mark scheme,
award equivalent marks for reaching equivalent stages.
• Where an answer makes use of a candidate’s own incorrect figure from previous working,
the ‘own figure rule’ applies: full marks will be given if a correct and complete method is
used. Further guidance will be included in the mark scheme where necessary an d any
exceptions to this general principle will be noted.

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4 Annotation:
• For point marking, ticks can be used to indicate correct answers and crosses can be used
to indicate wrong answers. There is no direct relationship between ticks and marks. Ticks
have no defined meaning for levels of response marking.
• For levels of response marking, the level awarded should be annotated on the script.
• Other annotations will be used by examiners as agreed during standardisation, and the
meaning will be understood by all examiners who marked that paper.

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Annotations guidance for centres

Examiners use a system of annotations as a shorthand for communicating their marking decisions to
one another. Examiners are trained during the standardisation process on how and when to use
annotations. The purpose of annotations is to inform the standard isation and monitoring processes
and guide the supervising examiners when they are checking the work of examiners within their team.
The meaning of annotations and how they are used is specific to each component and is understood
by all examiners who mark the component.

We publish annotations in our mark schemes to help centres understand the annotations they may
see on copies of scripts. Note that there may not be a direct correlation between the number of
annotations on a script and the mark awarded. Similarly, the use of an annotation may not be an
indication of the quality of the response.

The annotations listed below were available to examiners marking this component in this series.

Annotations

Annotation Description Use

Tick Correct point

Cross Incorrect point

Question mark Unclear response

Information Key information missing from response

missing

Knowledge & Indicates knowledge and understanding of the concepts and issues
understanding relating to the question.

Analysis Indicates where the answer has demonstrated analysis.

Application Indicates appropriate reference to the information provided

Effective Indicates where the answer has demonstrated particularly

Evaluation strong/justified evaluation

Benefit of Used when the benefit of the doubt is given in order to reward a
doubt response.

Not answered Used when the answer or parts of the answer do not answer the
question question asked.

Noted but no Indicates that the page or content has been seen by examiner, but
credit given no credit given.

Too vague Used when parts of the answer are considered to be too vague to
be given credit.

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Guidance on using levels-based mark schemes

Marking of work should be positive, rewarding achievement where possible, but clearly differentiating
across the whole range of marks, where appropriate.

The marker should look at the work and then make a judgement about which level statement is the best
fit. In practice, work does not always match one level statement precisely so a judgement may need to
be made between two or more level statements.

Once a best-fit level statement has been identified, use the following guidance to decide on a specific
mark:

• If the candidate’s work convincingly meets the level statement, award the highest mark.
• If the candidate’s work adequately meets the level statement, award the most appropriate mark
in the middle of the range (where middle marks are available).
• If the candidate’s work just meets the level statement, award the lowest mark.

Assessment objectives

AO1 Knowledge and understanding

• Show knowledge of syllabus content, recalling facts, formulae, and definitions.
• Demonstrate understanding of syllabus content, giving appropriate explanations and examples.
• Apply knowledge and understanding to economic information using written, numerical, and
diagrammatic forms.

AO2 Analysis
• Examine economic issues and relationships, using relevant economic concepts, theories, and
information.
• Select, interpret, and organise economic information in written, numerical, and diagrammatic form.
• Use economic information to recognise patterns, relationships, causes and effects.
• Explain the impacts and consequences of changes in economic variables.

AO3 Evaluation
• Recognise assumptions and limitations of economic information and models.
• Assess economic information and the strengths and weaknesses of arguments.
• Recognise that some economic decisions involve consideration of factors such as priorities and
value judgements.
• Communicate reasoned judgements, conclusions, and decisions, based on the arguments.

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Table A: AO1 Knowledge and understanding and AO2 Analysis

Use this table to give marks for each candidate response for AO1 Knowledge and understanding and
AO2 Analysis for Questions 2(b), 3(b), 4(b) and 5(b).

Level Description Marks

3 A detailed knowledge and understanding of relevant economic concepts are 6–8

included, using relevant explanations. Explanations are supported by
examples, where appropriate.

The response clearly addresses the requirements of the question and explains
economic issues, and fully develops these explanations.

Analysis is developed and detailed and makes accurate and relevant use of
economic concepts and theories. Where necessary, there is accurate and
relevant use of analytical tools such as diagrams and formulae, and these are
fully explained.

Responses are well-organised, well-focused and presented in a logical and

coherent manner.

2 Knowledge and understanding of some relevant economic concepts are 3–5

included, using explanations and examples that are limited, over-generalised
or contain inaccuracies.

The response addresses the general theme of the question and the relevant
economic issues, with limited development.

Analysis is generally accurate with some development but little detail. Uses
analytical tools such as diagrams and formulae where necessary. Use of
these tools is partially accurate or not fully explained.

Responses are generally logical and coherent but are sometimes lacking in
focus or organisation.

1 A small number of relevant knowledge points are included, and the response 1–2
is limited by significant errors or omissions.

The response has little relevance to the question.

Analysis where provided is largely descriptive. Use of analytical tools such as

diagrams and formulae, where necessary, may contain significant errors or be
omitted completely.

Responses show limited organisation of economic ideas.

0 No creditable response. 0

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Table B: AO3 Evaluation

Use this table to give marks for each candidate response for AO3 Evaluation for Questions 2(b), 3(b),
4(b) and 5(b).

Level Description Marks

2 Provides a justified conclusion or judgement that addresses the specific 3–4

requirements of the question.

Makes developed, reasoned and well-supported evaluative comment(s).

1 Provides a vague or general conclusion or judgement in relation to the 1–2

question.

Makes simple evaluative comment(s) with no development and little

supporting evidence.

0 No creditable response. 0

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Section A

Question Answer Marks

Follow the point-based marking guidance at the top of this mark scheme.

1(a) Using Fig. 1.1, calculate the percentage change in the world price of 2
olive oil between May 2022 and January 2023.

An increase /rise etc. (1) of 43.8 (%) (1)

Guidance: Accept any figure between 43 and 44 Note: as the question refers
to the ‘percentage change’ the % sign can be inferred if missing.

1(b) Some restaurants and commercial kitchens are using sunflower as an 2

alternative to olive oil.

Explain how economists would measure the impact of rising olive oil
prices on the demand for sunflower oil.

For recognition that they would use cross elasticity of demand / accept the
formula (1) for recognition that as the two goods will be substitutes, the
coefficient value will be positive (1).

1(c) With reference to Fig 1.2 and the help of a demand and supply diagram, 4
consider the possible impact of increased olive oil prices in 2023 on
consumer surplus.

• Correctly labelled diagram showing initial CS (1)

• Leftward shift in Supply curve establishing new CS (due to the increase in
price / fall in QS) (1)
• Explanation that as there is a reduction in the difference between the
price the consumer is willing to pay and the market price the consumer
surplus will be expected to fall (1)

Up to 1 mark for valid evaluation e.g., the impact on consumer surplus will
depend on the ped for olive oil including some explanation

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Question Answer Marks

1(d) Assess the likely impact of increasing stocks of olive oil on the price 6
and quantity of olive oil traded in the future.

Up to 3 marks for explanation / analysis that increasing stocks will lead

to a fall in price/rise in quantity.

For an explanation that e.g., stocks will initially reduce supply in the market (1)
raising the price (1) and reducing the equilibrium quantity (1); the increase of
stocks will allow for an increased supply when olive harvests are low ( 1) and
reduce equilibrium price (1) This will reduce volatility in the market (1) and
stabilise incomes for producers (1).

Up to 3 marks for explanation / analysis that increasing stocks will not

lead to a fall in price/rise in quantity.

If the cost of storing the olives is significant then olive producers may still
need to increase prices (1). Consumers may perceive the quality of ‘stored’
olives of a lower quality/ the quality of the olives may deteriorate over time (1)
and may reduce demand and switch to alternatives which may reduce the
quantity traded (1).
4 marks max for analysis

Evaluation
That clearly assesses the likely impact on both the price and quantity of olive
oil e.g. by considering the extent of any price change being dependent upon
that which sufficient stocks can be held – reserve 1 mark for a justified
conclusion.

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Question Answer Marks

1(e) Assess the extent to which a fall in the value of the US dollar against the 6
euro is likely to affect US imports of olive oil from the EU.

For explanation/ analysis (up to 4 marks)

Up to 3 marks for explanation / analysis of the likely negative effects on US

imports of olive oil from the EU
A fall in the value of the US dollar (depreciation) would increase the dollar
price of US imports of EU olive oil (1) which may reduce demand and imports
of olive oil from the EU (1) Additionally, this may lead to an increase in
demand for imports of olive oil from outside the EU / imports of olive oil
substitutes again reducing the demand and import of olive oil from the EU (1)

Up to 3 marks for explanation / analysis of why a fall in the value of the US

dollar might have a limited effect on US imports of olive oil from the EU.

The impact on the import of olive oil from the EU may be limited if PED is
inelastic (1) due to a lack of substitutes (1) because of the situation in the
Ukraine influencing the supply of sunflower oil (1). It may be limited depending
on the time period of the fall in the exchange rate if olive oil is easily stored
and can be used to smooth out fluctuations in the exchange rate (1)

4 marks max for analysis

Up to 2 marks for evaluation

That clearly considers both perspectives and concludes the likely extent of
the change on US imports of olive oil from the EU. Reserve 1 mark for a
justified conclusion.

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Section B

Question Answer Marks

EITHER

2(a) With the help of a production possibility curve (PPC) diagram, explain 8
the terms scarcity and choice and consider the extent to which every
choice has an equal opportunity cost.

Follow the point-based marking guidance at the top of this mark scheme and
award:
up to 3 marks for AO1 Knowledge and understanding up to 3 marks for AO2
Analysis
up to 2 marks for AO3 Evaluation.

AO1 Knowledge and Understanding (max 3 marks)

An accurate PPC diagram – a concave or straight-line curve that meets both
axes with appropriate and correctly labelled axes (1); explanation of scarcity
and / or opportunity cost (1) and how the scarcity in factor
endowments/scarce results and infinite wants results in choices having to be
made (1).

AO2 Analysis (max 3 marks)

If the candidates uses a straight line PPC
Uses the diagram to explain that scarcity is shown as a point on the straight
line PPC (1); the opportunity cost of changing production combinations is
shown as a movement along the PPC (1), the opportunity cost is equal due to
the negative one gradient of the PPC (accept constant trade off although not
strictly true) (1)

If the candidates uses a concave PPC

Uses the diagram to explain that scarcity is shown as a point on the concave
PPC (1); the opportunity cost of changing production combinations is shown
as a movement along the PPC (1), the opportunity cost is not equal due to the
increased trade-off the greater the proportion of resources allocated to the
production of a good (1)

AO3 Evaluation (max 2 marks)

One mark for a valid explanation that the extent to which each choice has an
equal opportunity cost depends on the shape of the PPC (1) or whether or not
there are unused factors of production when the choice is being made (1).
Reserve 1 mark for a justified conclusion.

AO1 Knowledge and understanding 3

AO2 Analysis 3

AO3 Evaluation 2

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Question Answer Marks

2(b) Assess whether the allocation of resources by the free market is always 12
desirable for an economy.
Use Table A: AO1 Knowledge and understanding and AO2 Analysis and
Table B: AO3 Evaluation to mark candidate responses to this question.

AO1 and AO2 out of 8 marks. AO3 out of 4 marks.

Indicative content

Responses may include:

AO1 Knowledge and understanding and AO2 Analysis

An understanding of the term free market economy
An explanation of the potential advantages of a free market economy –
efficient allocation of scarce resources, competitive prices and increased
choice for consumers, increased innovation and invention, increased
investment (via the profit motive), reduction in monopoly power
An explanation of the potential disadvantages of a free market economy –
under-provision of merit goods/overproduction of demerit goods, absence of
public goods, negative externalities, private sector monopolies, increased
income and wealth inequalities

Level 1 responses will be assertive and lacking in explanations / mainly

descriptive and/or or mainly lacking in relevance to the question.

Level 2 responses may contain some inaccuracies and may be one sided.
Analysis will be explained at least in part and will be largely relevant to the
question.

Level 3 responses will consider alternative policies / concepts etc. and will
be balanced. Explanations of points raised will be offered and will be accurate
and relevant to the question.

AO3 Evaluation
Consideration that fully assesses the extent to which the allocation of
resources in the free market is always desirable.

A one-sided response cannot gain any marks for evaluation.

Accept all valid responses.

AO1 Knowledge and understanding and AO2 Analysis 8

AO3 Evaluation 4

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Question Answer Marks

OR

3(a) Explain what is meant by a public good and a private good (economic 8
good) and consider the extent to which a beach could be described as a
public good.

Follow the point-based marking guidance at the top of this mark scheme and
award:
up to 3 marks for AO1 Knowledge and understanding up to 3 marks for AO2
Analysis
up to 2 marks for AO3 Evaluation.

AO1 Knowledge and Understanding (max 3 marks)

Explanation of rivalrous/non rivalrous (1) Explanation of excludable/non
excludable (1) Correctly applied to a public good and a private good (economic
good) to explain the difference (1)

AO2 Analysis (max 3 marks)

The extent to which a beach might be rivalrous (1); the extent to which a
beach might be excludable (1); the alternatives are also considered (1)

AO3 Evaluation (max 2 marks)

One mark for a valid explanation that the extent a beach could be described
as a public good (e.g. a quasi-public good). Reserve one mark for a justified
conclusion.

AO1 Knowledge and understanding 3

AO2 Analysis 3

AO3 Evaluation 2

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Question Answer Marks

3(b) Assess whether a subsidy is likely to be the best method to increase the 12
consumption of merit goods.

Use Table A: AO1 Knowledge and understanding and AO2 Analysis and
Table B: AO3 Evaluation to mark candidate responses to this question.

AO1 and AO2 out of 8 marks. AO3 out of 4 marks.

Indicative content

Responses may include:

AO1 Knowledge and understanding and AO2 Analysis
The meaning of the terms subsidy/merit goods
An explanation of how a subsidy would reduce the costs of production which
would, in turn, reduce the price and increase the quantity demanded.
An explanation of potential problems from using subsidies – opportunity cost
of increased government spending, increased dependency, incorrect
targeting, when to remove provision.
An explanation of alternative methods e.g. improved information but the
analysis must focus on how the method would increase the consumption of
merit goods.

Accept any valid policies but the analysis must focus on how they may
increase the consumption of merit goods and discuss their advantages and
disadvantages.

Level 1 responses will be assertive and lacking in explanations / mainly

descriptive and/or or mainly lacking in relevance to the question.

Level 2 responses may contain some inaccuracies and may be one sided.
Analysis will be explained at least in part and will be largely relevant to the
question.

Level 3 responses will consider alternative policies / concepts etc. and will
be balanced. Explanations of points raised will be offered and will be accurate
and relevant to the question.

AO3 Evaluation
Consideration that fully assesses the relative effectiveness of subsidies with
at least one other method and arrives at a reasoned conclusion - for example,
the relevance of elasticities of demand

A justified conclusion as to whether introducing subsidies is the best method

to increase the consumption of merit goods.

A one-sided response cannot gain any marks for evaluation.

Accept all valid responses.

AO1 Knowledge and understanding and AO2 Analysis 8

AO3 Evaluation 4

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Section C

Question Answer Marks

EITHER

4(a) With the help of a formula, explain two reasons for an improvement in 8
the terms of trade and consider the extent to which an improvement in
the terms of trade will benefit an economy.

Follow the point-based marking guidance at the top of this mark scheme and
award:
up to 3 marks for AO1 Knowledge and understanding up to 3 marks for AO2
Analysis
up to 2 marks for AO3 Evaluation.

AO1 Knowledge and Understanding (max 3 marks)

An accurate definition of the terms of trade OR An accurate formula (1)
Understanding that there is likely to be an improvement in the terms of trade if
export prices rise (1) relative to import prices (1).

AO2 Analysis (max 3 marks)

An improvement in the terms of trade means that a unit of export buys
relatively more imports (1) which may lead to an improvement in living
standards (1) as imported goods appear cheaper to consumers (1). BUT this
may lead to a current account deficit (1) MAX 2 if only benefits considered

AO3 Evaluation (max 2 marks)

That assesses the advantages and disadvantages of an improvement in the

terms of trade in terms of e.g., levels of unemployment and PED values and
reaches a conclusion as to whether this is of benefit to an economy. Reserve 1
mark for a valid conclusion.

AO1 Knowledge and understanding 3

AO2 Analysis 3

AO3 Evaluation 2

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Question Answer Marks

4(b) Assess whether the consequences of free trade are always positive for 12
an economy.
Use Table A: AO1 Knowledge and understanding and AO2 Analysis and
Table B: AO3 Evaluation to mark candidate responses to this question.

AO1 and AO2 out of 8 marks. AO3 out of 4 marks.

Indicative content

Responses may include:

AO1 Knowledge and understanding and AO2 Analysis

Understanding of the terms free trade
How free trade may benefit an economy – this may include – increased
economic growth, reduction in unemployment, improved public finances,
improved balance of payments.
An explanation of the drawbacks of free trade – reduced domestic growth,
increases in structural unemployment, over reliance on other countries for
goods not produced domestically, possibility of current account deficit.

Level 1 responses will be assertive and lacking in explanations / mainly

descriptive and/or or mainly lacking in relevance to the question.

Level 2 responses may contain some inaccuracies and may be one sided.
Analysis will be explained at least in part and will be largely relevant to the
question.

Level 3 responses will consider both the potential positives and negatives
and will be balanced. Explanations of points raised will be offered and will be
accurate and relevant to the question.

AO3 Evaluation
Consideration that fully assesses the consequences of free trade and arrives
at a reasoned conclusion concerning whether it is always positive – this may
include reference to availability of factor endowments, how ‘open’ an economy
is, stage of development etc.

A one-sided response cannot gain any marks for evaluation.

Accept all valid responses.

AO1 Knowledge and understanding and AO2 Analysis 8

AO3 Evaluation 4

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Question Answer Marks

OR

5(a) With the help of an AD/AS diagram, explain what is meant by an 8

expansionary fiscal policy and consider the extent to which an
expansionary fiscal policy will increase the level of aggregate demand.

Follow the point-based marking guidance at the top of this mark scheme and
award:
up to 3 marks for AO1 Knowledge and understanding up to 3 marks for AO2
Analysis
up to 2 marks for AO3 Evaluation.

AO1 Knowledge and Understanding (max 3 marks)

A clear understanding of what is meant by:

Expansionary fiscal policy being an increase in government spending and/or

reduction in tax rates (1)
Aggregate demand is the total demand for an economy’s goods and services
at a given price level / it is the total of C + I + G +(X-M) (1)
An accurate diagram showing AD and AS curves (1)

AO2 Analysis (max 3 marks)

An explanation of how a decrease in income tax (for example) will increase
disposable income (1) that cause an increase in consumption/which (as a
component of AD) causes an increase in aggregate demand (1). A diagram
showing a rightwards shift in the AD curve (1).

AO3 Evaluation (max 2 marks)

One mark for an explanation of whether expansionary fiscal policy will
increase the level of aggregate demand (1). One mark for a justified
conclusion.

AO1 Knowledge and understanding 3

AO2 Analysis 3

AO3 Evaluation 2

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Question Answer Marks

5(b) Assess whether supply-side policy is the best method to reduce the rate 12
of inflation.

Use Table A: AO1 Knowledge and understanding and AO2 Analysis and
Table B: AO3 Evaluation to mark candidate responses to this question.

AO1 and AO2 out of 8 marks. AO3 out of 4 marks.

Indicative content

Responses may include:

AO1 Knowledge and understanding and AO2 Analysis
The meaning of the terms supply-side policy and inflation
An explanation of how supply-side policy would reduce the rate of inflation
from increasing the productive capacity of an economy – e.g., improving the
quality of factors of production via – education and training, improved health
provision, development of infrastructure (road/rail links, broadband)
An explanation of the drawbacks of using supply-side policy to reduce the rate
of inflation – significant time lags, opportunity cost of government spending,
lack of retained profit for firms to train staff, the quality of education and
training, possible increase in government debt.
An explanation of the advantages and disadvantages of at least one
alternative policy that might be used to reduce the rate of inflation e.g.,
monetary and/or fiscal policy.

Level 1 responses will be assertive and lacking in explanations / mainly

descriptive and/or or mainly lacking in relevance to the question.

Level 2 responses may contain some inaccuracies and may be one sided.
Analysis will be explained at least in part and will be largely relevant to the
question.

Level 3 responses will consider alternative policies / concepts etc. and will
be balanced. Explanations of points raised will be offered and will be accurate
and relevant to the question.

AO3 Evaluation
Consideration that fully assesses the relative effectiveness of supply side
policy to reduce the rate of inflation compared with at least one other policy
and arrives at a reasoned conclusion concerning whether the supply side
policy is the ‘best’ policy.

A one-sided response cannot gain any marks for evaluation.

Accept all valid responses.

AO1 Knowledge and understanding and AO2 Analysis 8

AO3 Evaluation 4

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