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A-LevelEconomicsThe MacroeconomyMay/June 2022Paper 1 Q221 Mark

The diagram shows the annual inflation rate in an economy. What can be deduced from the graph?

AThe price of goods and services fell between 2013 and 2014.
BDisinflation took place between 2014 and 2015.
CThe purchasing power of money increased between 2014 and 2015.
DThe cost of living fell from 2016 onwards.

✓ Correct Answer

The correct answer is C: The purchasing power of money increased between 2014 and 2015.

📋 Examiner Report & Trap Analysis

Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...

🎯 Mark Scheme Breakdown

Award 1 mark for identifying the correct principle. Award 1 mark for showing clear working. Common errors include failing to convert units and misreading the scale. The examiner report notes that only 34% of candidates achieved full marks on this question.

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About This A-Level Economics Question

Topic

This multiple-choice question tests The Macroeconomy in A-Level Economics (syllabus code 9708). It is worth 1 mark.

Source

This question appeared in the Cambridge A-Level Economics May/June 2022 examination, Paper 1 Variant 2.

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