In 2015 the world saw many changes in demand and advances in technology. People were using new ways to transfer money and there was an increase in the number of stock exchanges. Some governments also raised the school-leaving age, that is the minimum age at which children are legally allowed to leave school.

Mark scheme

Marking points from the official mark scheme (May/June 2017). The mark or mark type is shown in brackets.

1. [1] (a) Shares/stocks
2. [1] (a) in public limited companies
3. [1] (a) government bonds/securities
4. [1] (b) If workers and firms specialise they have to sell what they produce
5. [1] (b) to get the products they want/to buy other products
6. [1] (b) Money helps trade as it avoids the need for barter
7. [1] (b) overcomes the double coincidence of wants
8. [1] (b) Any functions of money e.g. medium of exchange or store of value
9. [1] (c) Advances in technology reduce costs of production
10. [1] (c) increases the speed of production
11. [1] (c) increases supply
12. [1] (c) lower price
13. [1] (c) increases quality/efficiency/reduces waste
14. [1] (c) lower price causes an extension in demand
15. [1] (c) Advances in technology create new products and newer versions of products
16. [1] (c) higher demand will increase price
17. [1] (c) higher prices will cause supply to extend
18. [1] (c) Advances in technology decreases demand for some products
19. [1] (c) example
20. [1] (c) Advances in technology may reduce demand for labour
21. [1] (c) as machines may replace workers
22. [1] (c) example
23. [1] (c) Advances in technology may enable firms to extract raw materials more easily
24. [1] (c) increasing the supply of raw materials
25. [1] (c) example
26. [1] (d) It may increase educational standards
27. [1] (d) increase skills
28. [1] (d) raise labour productivity
29. [1] (d) increase innovation/technology
30. [1] (d) lower costs of production
31. [1] (d) raise output
32. [1] (d) improve the current account position
33. [1] (d) More educated workers are likely to be in higher demand from employers
34. [1] (d) more occupationally mobile
35. [1] (d) lower unemployment
36. [1] (d) create jobs for teachers
37. [1] (d) raise wages
38. [1] (d) improve living standards
39. [1] (d) may reduce income inequality
40. [1] (d) It may attract more MNCs to set up in the country
41. [1] (d) as they will expect a more skilled labour force
42. [1] (d) which may increase GDP
43. [1] (d) It will increase government spending
44. [1] (d) opportunity cost
45. [1] (d) example
46. [1] (d) may lead to higher taxes
47. [1] (d) Workers may be sufficiently qualified/there may not be vacancies for more-skilled workers
48. [1] (d) inappropriate use of resources
49. [1] (d) workers may become over-qualified for the jobs they do
50. [1] (d) In the short run will reduce the size of the labour force
51. [1] (d) lower output/productive potential