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A-LevelEconomicsGovernment InterventionOct/Nov 2019Paper 3 Q141 Mark

Governments often aim to reduce income inequalities. The diagram shows the effects of using taxation and benefits to try to achieve this aim. [Figure 14.1] What can be concluded about the effects of taxes and benefits from the diagram? A All income groups are better off except those earning more than 40000 dollars per year. B Benefits paid to the lower income groups are not a burden because they are not paid out of tax revenues. C The average final income of the top 20% exceeds the combined final incomes of the other groups. D The progressive taxation system still favours the top 20% over the bottom 20% of households.

📋 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 structured question tests Government Intervention in A-Level Economics (syllabus code 9708). It is worth 1 mark.

Source

This question appeared in the Cambridge A-Level Economics Oct/Nov 2019 examination, Paper 3 Variant 1.

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