IGCSE/GCSE/O & A Level/IB/University Student Forum

Qualification => Subject Doubts => GCE AS & A2 Level => Commerce => Topic started by: Tohru Kyo Sohma on May 26, 2011, 09:26:18 pm

Title: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on May 26, 2011, 09:26:18 pm
ok...i have some doubts...can anyone help me (actually im counting on u dasith to help  :P)its may/june 2006 p1 qns 7,19,27 and 28?
i have the answers...duh....but i need explanation on y is it that answer and y not the others!pls help my paper is in the morning!
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Dasith on May 27, 2011, 12:45:35 am
hehe , Dasith to da rescue :P :P :P

By the way hope u get it in time lol ;)

7) ans is b because when PED = 1 , we gotta assume revenue is equal @ any level of output / price, @ least thats wat the cambridge assumes ;) :P   ,

Revenue here is 12 x 4000
i.e 48000

If we assume that revenue is same @ output of 20000 then Price =
48000/20000 = 2.4

19)
country N :
Gives up 1 Y for 4 X ( hope u knw hw to calculate that )if not just tell me :)

Country M:
gives up 1 Y for 2 X (hope u knw this too )

country N produces X & M produces Y(after specialisation)
so u can see if they Trade @ price 1y=3x here country N will gain because it has to give up ony 3x to get 1 y compared to 4x before specialisation , & country M gets 3 x for one y , where b4 specialisation it had got only 2x for every 1 y
ans = A

27)
Increased in ternational competition means Reduction in prices of imports(negetive inflation) , i.e because world supply curve is much lower(usually ) than domestic curves , & worsening of current a/c means people buy the cheap imports,which leads to increase in supply of local currency in world markets so exchange rate depreciates :)
ans is D

28)
pound appreciates againts $*
euro appreciates against pound

so which means euro appreciated agains $ too because $ depreciated agains pound !

soo this means $ againts pound depreciates*
& $ depreciates agianst euro


ans is C

27)
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on May 27, 2011, 01:12:00 am
THANK YOU DASITH! ;D
i have a few more doubts if u have time to solve it
2008 m/j p1 qns 7,8,16 (why is it C and why isnt it B),18 and 30
2009 m/j p1 qns 7 and 22
and can u explain the differences between comparitive and absolute advantage ,what is purchasing power parity, and what is likely to happen when interest rates increase? 8) :o :o :o :o :o
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Dasith on May 27, 2011, 01:31:47 am
THANK YOU DASITH! ;D
i have a few more doubts if u have time to solve it
2008 m/j p1 qns 7,8,16 (why is it C and why isnt it B),18 and 30
2009 m/j p1 qns 7 and 22
and can u explain the differences between comparitive and absolute advantage ,what is purchasing power parity, and what is likely to happen when interest rates increase? 8) :o :o :o :o :o

2008:
got to go 4 exam so i'm gonna make it quick ,

7) same as i explaned b4 u assume revenue is same & ......
8)its unitary or 1 for cola , calculate using formulae so A & b's out
its not D because its infinite for nuts i.e 1/0 x 100
ans is C

16)u gotta calculate socal net benifit or loss
i.e (private + external benifit) - (Pvt + external cost)
& coose one which has greater positive value !

gotta go .. sorry about the rest of the ans , i'm really running short of time lol , hope u dont mind ;D
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on May 27, 2011, 01:43:45 am
its ok...thanks again....bye!BOL
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Dasith on May 27, 2011, 08:36:47 am
its ok...thanks again....bye!BOL

hope the paper was okey ??
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: ***exam*** on May 27, 2011, 05:28:46 pm
THANK YOU DASITH! ;D
i have a few more doubts if u have time to solve it
2008 m/j p1 qns 7,8,16 (why is it C and why isnt it B),18 and 30
2009 m/j p1 qns 7 and 22
and can u explain the differences between comparitive and absolute advantage ,what is purchasing power parity, and what is likely to happen when interest rates increase? 8) :o :o :o :o :o

well i cant really explain cuz bad at explaining !!
but u can watch this vid ! its awesome i learnt abt the advantages thingi frm this
http://www.youtube.com/watch?v=Pd_qs8ueIWw (http://www.youtube.com/watch?v=Pd_qs8ueIWw)
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on May 27, 2011, 09:59:04 pm
aww...im seeing this too late now.....exams over and i messed up this paper as well!!!
now i can only hope!
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: ***exam*** on May 29, 2011, 08:21:32 am
oh m really sorry 4 the late reply then :( !!

well it is relative grading so u might wanna hope others messed the pap up too  :P :P
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Dasith on May 29, 2011, 08:30:50 am
oh m really sorry 4 the late reply then :( !!

well it is relative grading so u might wanna hope others messed the pap up too  :P :P

haha ! i think u r rite i messed up da paper too , in some questions ;D ;D
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on August 14, 2011, 02:49:30 pm
Since i was planning to re-sit my economics exam i tried out my own exam paper june 2011 P12 and luckily got 22/30.
but i had a few doubts in  this paper

Qns.1-why is the answer  B?
Qns.7-why is it C and not B?
Qns.18-why C and why not A?
Qns.29-why C and why not B?
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Dasith on August 14, 2011, 03:09:38 pm
Since i was planning to re-sit my economics exam i tried out my own exam paper june 2011 P12 and luckily got 22/30.
but i had a few doubts in  this paper

Qns.1-why is the answer  B?
Qns.7-why is it C and not B?
Qns.18-why C and why not A?
Qns.29-why C and why not B?


where can we find da question papers ?
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Arthur Bon Zavi on August 14, 2011, 03:15:46 pm
where can we find da question papers ?

Here. (http://www.mediafire.com/?vkvbk9ibb8gp6)
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Dasith on August 14, 2011, 03:45:23 pm
Since i was planning to re-sit my economics exam i tried out my own exam paper june 2011 P12 and luckily got 22/30.
but i had a few doubts in  this paper

Qns.1-why is the answer  B?
Qns.7-why is it C and not B?
Qns.18-why C and why not A?
Qns.29-why C and why not B?


1 . This definition on the link gives u an idea why it is so check  http://www.businessdictionary.com/definition/capital.html (http://www.businessdictionary.com/definition/capital.html)
check the economis one .

7.In a unitery price elastic @ any point da Expenditure is da same.(always )

18.

If its A:
x specialises in food ( it would hav to give up 1 cloth to produce 3 food)
y specialises in cloth ( it would hav to give up 1 food to produce 0.5 cloth)

so if they trade @ prices 1 cloth for 1.5 food country "y" would find it disadvantageous

since because they would hav produced locally 2 food if they gave up 1 cloth ,  but wat they get is 1.5 for 1 cloth

but if u take option C:
country Y specialises in :cloth (giving up  1 food for 1 cloth)
country X                in :food (giving up 2 food for 1 cloth)

country y has an advantage because :they get 1.5 units of food if they trade , local production would hav got them only 1 for 1
country x has an advantage because :they get 1 unit of cloth by only giving up 1.5 units of food , but local production would hav meant that they hav to give up 2 foods for 1 cloth


Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on August 14, 2011, 05:52:10 pm
1 . This definition on the link gives u an idea why it is so check  http://www.businessdictionary.com/definition/capital.html (http://www.businessdictionary.com/definition/capital.html)
check the economis one .

7.In a unitery price elastic @ any point da Expenditure is da same.(always )

18.

If its A:
x specialises in food ( it would hav to give up 1 cloth to produce 3 food)
y specialises in cloth ( it would hav to give up 1 food to produce 0.5 cloth)

so if they trade @ prices 1 cloth for 1.5 food country "y" would find it disadvantageous

since because they would hav produced locally 2 food if they gave up 1 cloth ,  but wat they get is 1.5 for 1 cloth

but if u take option C:
country Y specialises in :cloth (giving up  1 food for 1 cloth)
country X                in :food (giving up 2 food for 1 cloth)

country y has an advantage because :they get 1.5 units of food if they trade , local production would hav got them only 1 for 1
country x has an advantage because :they get 1 unit of cloth by only giving up 1.5 units of food , but local production would hav meant that they hav to give up 2 foods for 1 cloth



thank u
i get it now
 ;D
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Dasith on August 15, 2011, 08:37:29 am
hey da 29 th one its because:

When US interest rates rise < DEmand 4 us $ would increase because ppl would want to deposit money in USA due to high return , so ppl would Give Pounds to Get US $ in order to deposit their money in US banks , this would increase supply of Pounds in the currency market , as ppl are willing to supply pounds for $ 's this would cause supply curve to sh*t to the Right (S1)

& since UK interest rates are Down This would cause the Demand for Pounds to be less as ppl get less return, so the demand for Pounds would Drop form D to D1

& so we r left with only Point C yea?
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on August 15, 2011, 03:17:07 pm
yes...i see!!
i didnt think of that before....thanks alot dasith!!!
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Dasith on August 18, 2011, 06:37:21 am
yes...i see!!
i didnt think of that before....thanks alot dasith!!!

glad i cud help :D
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on April 27, 2012, 07:31:08 pm
May/june 2010-P12
Qns 6-Worldwide, the film industry has increased its expenditure to over $1 billion each year on
successful anti-piracy measures which it finances by charges on DVD products.
How would this be shown in a demand and supply diagram of the market for legally produced
DVDs?
      demand curve    supply curve
A       shifts left        shifts left
B        shifts left       shifts right
C        shifts right      shifts left
D        shifts right      shifts right
why does supply curve shift to the left?

Qns 11-http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_s10_qp_12.pdf
it has a diagram....so i gave the link!
how do we get 3000?

May/june 2011-P11
http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_s11_qp_11.pdf
(im really sorry....but i cant write the question down because i'm really busy):(
Qns1-The opportunity costs are constant in both economies........what does this line mean?

qns 7 -Which diagrams represent ‘a change in the quantity demanded’?
      how can we tell this????
qns 19- i calculated opp cost for this one and i got D but it was C????
can anyone tell me how?

Oct/Nov 2002-
Qns.22- What is likely to improve the visible trade balance of Mauritius but to worsen its invisible balance?
A A Mauritian company sets up a subsidiary company in France.
B A US company builds a factory in the Mauritius to serve the African market.
C The Mauritian government removes import controls on semi-manufactured goods.
D The Mauritian government increases interest rates with a view to strengthening the exchange
rate of the Mauritian rupee.

Qns 24-The table shows information about a country whose consumers spend their income on three
commodities, P, Q and R.

commodity   index of     index of       consumers’
                 prices in     prices in      expenditure
                   year 1     year 2          in year 1
   P                100        160          $100 million
  Q                 100         80          $300 million
  R                 100        100          $100 million

Between year 1 and year 2 how has the general level of prices changed?
A It has risen by 40%.
B It has risen by 10%.
C It has remained the same.
D It has fallen by 5%.
how to calculate?

O/n 2005
Qns 18-
http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_w05_qp_1.pdf
I taught it's D.....why isn't it D?

Oct/nov 2003
Qns 25-http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_w03_qp_1.pdf
how to calculate it?????????

qns.9 how to find it?

qns 28- why isn't it A???.....B is right i get it...but A is right too?

Oct/nov 2004
http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_w04_qp_1.pdf
Qns 13-why is it B????
qns 25-why is it not C?how is it D?

P12 o/n 2010-
http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_w10_qp_12.pdf
qns.22--- how to calculate?
qns 25- how do we figure the answer?



ok........im really sorry....to throw all my doubts!
please help me out here! ;D ;D ;D


Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Azland on April 30, 2012, 01:58:08 pm
May/june 2010-P12
Qns 6-Worldwide, the film industry has increased its expenditure to over $1 billion each year on
successful anti-piracy measures which it finances by charges on DVD products.
How would this be shown in a demand and supply diagram of the market for legally produced
DVDs?
      demand curve    supply curve
A       shifts left        shifts left
B        shifts left       shifts right
C        shifts right      shifts left
D        shifts right      shifts right
why does supply curve shift to the left?

Qns 11-http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_s10_qp_12.pdf
it has a diagram....so i gave the link!
how do we get 3000?

May/june 2011-P11
http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_s11_qp_11.pdf
(im really sorry....but i cant write the question down because i'm really busy):(
Qns1-The opportunity costs are constant in both economies........what does this line mean?

qns 7 -Which diagrams represent ‘a change in the quantity demanded’?
      how can we tell this????
qns 19- i calculated opp cost for this one and i got D but it was C????
can anyone tell me how?

Oct/Nov 2002-
Qns.22- What is likely to improve the visible trade balance of Mauritius but to worsen its invisible balance?
A A Mauritian company sets up a subsidiary company in France.
B A US company builds a factory in the Mauritius to serve the African market.
C The Mauritian government removes import controls on semi-manufactured goods.
D The Mauritian government increases interest rates with a view to strengthening the exchange
rate of the Mauritian rupee.

Qns 24-The table shows information about a country whose consumers spend their income on three
commodities, P, Q and R.

commodity   index of     index of       consumers’
                 prices in     prices in      expenditure
                   year 1     year 2          in year 1
   P                100        160          $100 million
  Q                 100         80          $300 million
  R                 100        100          $100 million

Between year 1 and year 2 how has the general level of prices changed?
A It has risen by 40%.
B It has risen by 10%.
C It has remained the same.
D It has fallen by 5%.
how to calculate?

O/n 2005
Qns 18-
http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_w05_qp_1.pdf
I taught it's D.....why isn't it D?

Oct/nov 2003
Qns 25-http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_w03_qp_1.pdf
how to calculate it?????????

qns.9 how to find it?

qns 28- why isn't it A???.....B is right i get it...but A is right too?

Oct/nov 2004
http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_w04_qp_1.pdf
Qns 13-why is it B????
qns 25-why is it not C?how is it D?

P12 o/n 2010-
http://www.xtremepapers.com/CIE/International%20A%20And%20AS%20Level/9708%20-%20Economics/9708_w10_qp_12.pdf
qns.22--- how to calculate?
qns 25- how do we figure the answer?



ok........im really sorry....to throw all my doubts!
please help me out here! ;D ;D ;D



Didnt you finish AS Econ already?
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on May 01, 2012, 07:16:22 am
Didnt you finish AS Econ already?
uh. :-[...hahaha.......im repeating full A level this may/june! :-X
i got a C last year! :'(
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Azland on May 03, 2012, 08:44:44 pm
uh. :-[...hahaha.......im repeating full A level this may/june! :-X
i got a C last year! :'(
Ah, ok. Dont worry, most likely will do much better this session. My AS Econ is a bit rusty or I would try answering the above ones. Hopefully you've figured them out by now though. Also keep in mind they usually always repeat 6- 7 questions from past papers, so read through all of them atleast once.

Also, this section is pretty much dead. Try posting on the xtremepaper forums. It's quite active there.
Title: Re: EcCONOMICS P1 DOUBTS!
Post by: Tohru Kyo Sohma on May 04, 2012, 09:07:48 am
Ah, ok. Dont worry, most likely will do much better this session. My AS Econ is a bit rusty or I would try answering the above ones. Hopefully you've figured them out by now though. Also keep in mind they usually always repeat 6- 7 questions from past papers, so read through all of them atleast once.

Also, this section is pretty much dead. Try posting on the xtremepaper forums. It's quite active there.
ok will do
first i have to make an account there!