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Wednesday 30 January 2013 - Afternoon: A2 Gce Economics

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22 views16 pages

Wednesday 30 January 2013 - Afternoon: A2 Gce Economics

Uploaded by

王涛
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
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Wednesday 30 January 2013 – Afternoon

A2 GCE ECONOMICS
F585/01 The Global Economy
* F 5 3 0 1 2 0 6 1 3 *

Candidates answer on the Question Paper.

OCR supplied materials: Duration: 2 hours


• Clean copy Stimulus Material

Other materials required:


• Calculators may be used

* F 5 8 5 0 1 *

INSTRUCTIONS TO CANDIDATES
• Refer to the Stimulus Material in a separate booklet. You must not bring your original copy
into the examination.
• Write your name, centre number and candidate number in the boxes above. Please write
clearly and in capital letters.
• Use black ink. HB pencil may be used for graphs and diagrams only.
• Answer all the questions.
• Read each question carefully. Make sure you know what you have to do before starting
your answer.
• Write your answer to each question in the space provided. If additional space is required,
you should use the lined pages at the end of this booklet. The question number(s) must be
clearly shown.
• Do not write in the bar codes.

INFORMATION FOR CANDIDATES


• The number of marks is given in brackets [ ] at the end of each question or part question.
• The total number of marks for this paper is 60.
• The quality of your written communication will be taken into account in the marking of your
answer to question 3. All answers should be in continuous prose.
• This document consists of 16 pages. Any blank pages are indicated.
A calculator may
be used for this
paper

© OCR 2013 [T/500/7921] OCR is an exempt Charity


DC (KN) 59816/2 Turn over
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Answer all questions.

1 (a) What is meant by:

(i) a fixed exchange rate?

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(ii) purchasing power parity?

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(b) Argentina had used a fixed exchange rate system prior to its economic crisis in 2001.

Analyse two disadvantages of a fixed exchange rate system.

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(c) Comment on the consequences of an external shock for an economy, such as Greece, which
is a member of a monetary union. [10]

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2 (a) Distinguish between a budget deficit and a national debt.

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(b) Argentina’s ‘zero deficit law’ and the European Union’s (EU) Stability and Growth Pact are
examples of fiscal rules.

Analyse two reasons why fiscal rules may be important in promoting economic stability.

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(c) Other than the impact of Foreign Direct Investment (FDI), comment on the extent to which the
exchange rate has been the most important influence on Argentina’s economic growth since
2003. [10]

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3 Discuss the extent to which Foreign Direct Investment, such as that to Latin America and Africa, is
the most effective way of promoting development. [20]

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END OF QUESTION PAPER

© OCR 2013
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ADDITIONAL ANSWER SPACE

If additional answer space is required, you should use the following lined pages. The question number(s)
must be clearly shown in the margins.

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Copyright Information
OCR is committed to seeking permission to reproduce all third-party content that it uses in its assessment materials. OCR has attempted to identify and contact all copyright holders
whose work is used in this paper. To avoid the issue of disclosure of answer-related information to candidates, all copyright acknowledgements are reproduced in the OCR Copyright
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For queries or further information please contact the Copyright Team, First Floor, 9 Hills Road, Cambridge CB2 1GE.
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© OCR 2013

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