AQA AS-Level Economics | 10 mark question

AQA AS-Level Economics Paper 1

Extract B (line 1) states that ‘In recent years, food prices have risen faster than incomes.’ Explain two possible reasons, other than a change in income, for the rise in the price of food over the period shown. (Specimen)

Extract E (lines 1–2), states ‘Potash is one of three main fertiliser products which farmers use to increase their output before planting crops such as wheat.’ Explain the possible effects on the market for wheat of a fall in the price of a fertiliser such as potash. (Specimen)

Extract B (lines 10 and 11) states ‘However, the housing market is not a perfectly competitive market.’ Explain why the housing market is not a perfectly competitive market. (June 2016)

Extract F (line 10) states ‘Taxation is one way governments attempt to control cigarette consumption.’ Explain the effect of indirect taxation on the consumption of cigarettes. (June 2016)

Extract B (lines 2–3) refers to ‘the monopoly power of well-established firms’ in the supermarket industry. Explain two factors that could influence the monopoly power of firms in the supermarket industry. (June 2017)

Extract E (lines 1–2) states ‘in 2007, before the recession, 68% of adults gambled, but by 2010, this had risen to 73%.’ Explain two factors that could have increased the percentage of adults who gamble. (June 2017)

Extract B (lines 2–3) states: ‘a recent survey found that only a third of adults had box used a library in the previous year, a significant fall since data collection began in 2005’. Explain two reasons why the demand for library services has fallen. (June 2018)

Extract F (lines 2–3) states: ‘Dairy prices are expected to rise in 2017’. box Explain two factors that could increase the price of milk. (June 2018)

Extract C (lines 18–19) states: ‘should there be limits on the use of palm oil for biofuel, the so-called ‘food versus fuel debate’?’ Explain how the increased demand for palm oil used for biofuel is likely to affect the market for palm oil used for food. (June 2019)

Extract E (line 9) states: ‘a growing population is increasing the demand for dental care.’ Explain how the increasing demand for dental care is likely to affect the market for dentists. (June 2019)

Extract C (line 13) states: ‘Both the take-up rate and number of journeys per bus pass have been falling in recent years.’ Explain two factors which could lead to an increase in the demand for bus travel in the future. (June 2020)

Extract E (lines 18–19) states: ‘the growth of e-cigarettes has fallen since, with some smokers switching back to conventional cigarettes.’ Explain two factors which could lead to an increase in the demand for conventional cigarettes. (June 2020)

Extract B (lines 13–14) states: ‘Most water (and sewerage) services are not provided by competitive markets… Only businesses can choose their water supplier’. Explain how firms in the water industry could compete to attract businesses or other customers. (June 2022)

Extract E (lines 1–2) states: ‘alcohol has traditionally been viewed as a demerit good, subject to high indirect taxes’. Explain the likely effects of imposing indirect taxes on alcohol. (June 2022)

Extract C (lines 13–14) states: ‘Concerns about the impact of oil on the environment have led to the encouragement of renewable energy, such as solar, wind and tidal power’. Explain how the development of renewable sources of energy is likely to affect the market for oil. (June 2023)

Extract E (lines 8–9) states: ‘Drones can reach remote areas quickly and easily, saving on labour and other costs.’ Explain how the increasing use of drones is likely to affect the market for delivery workers. (June 2023)

Extract B box (lines 1–2) states: ‘As the world recovered from the recession of 2008, there was more demand for travel and tourism.’ Explain possible reasons for an increase in the demand for travel and tourism. (June 2024)

Extract E box (lines 15–17) states: ‘Increased competition and easier access to the internet have helped to bring down the price of some basic glasses to £25 or less.’ Explain factors that could lead to a fall in the price of glasses. (June 2024)

Extract C (lines 14–15) states: ‘The UK House Price Index was 152.6 in August 2023, up 52.6% since January 2015.’ Explain possible reasons why the price of houses has increased in recent years. (June 2025)

Extract E (lines 10–11) states: ‘Similarly, the price of the capsules also affects the demand for the coffee machines.’ Explain how an increase in the price of coffee capsules is likely to affect the market for coffee machines to use at home. (June 2025)

AQA AS-Level Economics Paper 2

Extract B (lines 15–17) states ‘some economists argue that there is still a long way to go to improve the external performance of the economy. Improvements in productivity are absolutely vital’. Explain how improvements in productivity can affect the UK’s trade balance. (Specimen)

Extract F (line 7–8) states that ‘This is a move away from the more familiar role of interest rates, which has been to control inflation.’ Explain how monetary policy can be used to control inflation. (Specimen)

Extract B (lines 6 to 8) states ‘The weakness in global energy prices and food prices combined with the recent appreciation in the pound sterling exchange rate help to explain the recent fall in inflation in the UK.’ Explain why a rise in the pound sterling exchange rate is likely to affect the rate of inflation in the UK.

Extract E (lines 1 to 3) states ‘European migrants who arrived in the UK since 2000 have made a net contribution of more than £20bn to UK public finances.’ Explain how immigration from the rest of Europe affects the UK government’s budget deficit.

Extract B (line 12) states ‘The average debt per household, including mortgages, was £53 904 in December 2015.’ Explain two factors that influence the willingness of UK households to borrow. (June 2017)

Extract F (lines 7–8) states ‘productivity remains a key issue in improving competitiveness and aiding the recovery of the economy.’ Explain two factors that may have contributed to low productivity in the UK. (June 2017)

Extract B (lines 9–11) states ‘The Bank of England’s Monetary Policy Committee loosened its monetary policy in an attempt to prevent a downturn in the economic cycle.’ Explain how monetary policy might help to prevent a downturn in the economic cycle. (June 2018)

Extract E (lines 18–19) states ‘the 2017 Budget Report stated the intention to reduce the rate of corporation tax further to 17% by 2020.’ Explain how a reduction in corporation tax on firms’ profits might lead to supply-side improvements in the economy. (June 2018)

Extract C (lines 10–11) states: ‘It has announced increased government spending on technological education and training.’ Explain how an increase in government spending could affect the national debt. (June 2019)

Extract F (lines 8–10) states: ‘Hopefully, firms will feel encouraged by the increases in demand and output, and, according to the accelerator process, this should have positive effects on investment.’ Explain how the accelerator process is likely to affect economic growth. (June 2019)

Extract C (lines 3–4) states: ‘Household consumption accounts for approximately 60% of aggregate demand so has a vital role to play in the economy.’ Explain two factors that could cause a fall in consumption. (June 2020)

Extract E (lines 9–10) states: ‘Inevitably, the volume of exports will fall, and it is highly likely that the trade deficit will increase further.’ Explain two factors that could cause a fall in the volume of UK exports. (June 2020)

Extract B (line 2) states: ‘…there were signs that economies were in the midst of a global slowdown’. Explain how a global slowdown can affect employment in the UK. (June 2022)

Extract F (lines 1–2 and 8) states: ‘As part of fiscal policy, government spending can be used to allocate resources to different regions and sectors of the economy and consequently, change the pattern of economic activity...Taxation also has a role to play in affecting the pattern of activity’. Explain ways in which a government can use fiscal policy to affect the pattern of economic activity. (June 2022)

Extract B (lines 7–9) states: ‘With this in mind, the government sets the target rate of inflation that the Bank of England’s Monetary Policy Committee (MPC) has to achieve.’ Explain two factors considered by the Bank of England’s MPC when setting Bank Rate. (June 2023)

Extract F (lines 1–2) states: ‘Many economists believe that the trade balance reflects the strength or weakness of a country’s international competitiveness’. Explain how a fall in a country’s international competitiveness may affect economic growth in the economy. (June 2023)

Extract B (lines 11–12) states: ‘In response, as inflation rose above the target rate, the Bank of England's Monetary Policy Committee acted by increasing Bank Rate.’ Explain how an increase in Bank Rate may lead to a reduction in the rate of inflation. (June 2024)

Extract F (lines 1–2) states: ‘Unless the UK Government provides additional support, the outlook for some poorer regions may be gloomy. They often suffer from structural unemployment’. Explain why some regions of the UK suffer from structural unemployment. (June 2024)

Extract B (lines 6–7) states: ‘A shortage of labour is one of the factors that has contributed to rising inflation, threatening macroeconomic stability.’ Explain how a shortage of labour might contribute to rising inflation. (June 2025)

Extract E (lines 12–13) states: ‘To increase revenue, the main rate of corporation tax, the tax payable on firms’ profits, was increased to 25%.’ Explain why an increase in the tax payable on firms’ profits may lead to lower productivity growth. (June 2025)

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