A-LevelEconomicsAggregate Demand and SupplyOct/Nov 2017Paper 1 Q191 Mark
In its recent budget a government reduced total expenditure while increasing the amount spent on training to increase the productivity of the workforce. The initial equilibrium point is shown by X on the aggregate demand (AD) and aggregate supply (AS) diagram. [Figure showing aggregate supply curves AS3, AS1, AS2 and aggregate demand curves AD3, AD1, AD2, with points X, B, C, D, A] What would be the equilibrium point after these changes?
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✓ Correct Answer
The correct answer is A: A
📋 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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