A-LevelEconomicsInflation and DeflationOct/Nov 2010Paper 1 Q241 Mark
The table shows the percentage price changes in some items in the UK Consumer Price Index (CPI) in the year to 1 June 2006. item % change in price rents, electricity and gas 9.0 education 4.7 transport 4.0 restaurants and hotels 3.2 health services 2.9 The increase in the overall CPI over the same period was 2.5%. What can be concluded from the data above?
AThe CPI is not an accurate measure of inflation.
BSome prices must have fallen.
CThe average price increase of other items was less than 2.5%.
DThe real value of money rose by more than 2.5%.
✓ Correct Answer
The correct answer is C. This question tests the candidate's understanding of inflation and deflation within the Economicssyllabus. The examiner's mark scheme requires...
📋 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...
🔒
Unlock the Examiner's Answer
Sign up for free to reveal the correct answer, the official mark scheme breakdown, and the examiner trap analysis for this question.
Sign Up Free to Unlock →Join thousands of Cambridge students already using Oracle Prep