Economics Paper 22

[kitty18]

what were we supposed to write in Q.3(b)

 

[ibadsiddiqi]

Yah i said increase in tax rates etc.Just simplifying, whats about devaluation?

For that question i just wrote some stuff..
A current account surplus can mean a good BoT,more revenue wil be earned so firms benefit, etc, and it can contribute to a BoP surplus which can appreciate the currency, can reduce cost push inflation. Not sure if thats the awnser thats wanted though..I think i wrote 1 more point but i forgot

Devaluation in which the government devalues its currency to make exports cheaper and imports more expensive..u just had to mention that..but they wudnt cut marks if you adequately described the other two policies.
Current account question was of 4 marks..im pretty sure they can give you 3 for that answer

 

[Mattman]

Devaluation in which the government devalues its currency to make exports cheaper and imports more expensive..u just had to mention that..but they wudnt cut marks if you adequately described the other two policies.
Current account question was of 4 marks..im pretty sure they can give you 3 for that answer

Eh? devaluation is expenditure switching not reducing/dampening..or you meant to write that as an alternative to what the govt can do? in that case ya u have a point

Ya what about the question on why China has a better current acc balance than India..I awnsered china has a cheaper currency and employs protectionism policies

 

[ibadsiddiqi]

no devaluation can be included in the expenditure dampening policy..it also includes the J curve effect

 

[Mattman]

u devalue the currency, consumers just switch demand to domestic substitutes. Expenditure doesnt change ceteris paribus

 

[Qamar Baloch]

In question 2a u had to mention the characteristics of money and then you will mention how many can fulfill its functions in all three economic systems..like it serves as medium of exchange because its recognizable and generally acceptable, it can serve as a unit of account etc etc

Hi dear students, a bit to add there was, a little description of economic systems as well. The main question you explained was good but you would get full marks only if you take into account each and every terminology used in the question. I mean to say a little description of economic systems followed by a detailed explanation of four functions of money with its good characteristics. Any how you explained it well. Nice but you may have to lose 1 or 2 marks to overlook economic systems. Best of luck to all. You may post your doubts regarding P3 and P4 at [email protected] to Qamar Baloch to get your problems solved to the maximum level InshaAllah.

 

[Rashmit Arora]

i wrote contractionary sooo i think its the same thing i think
What you wrote for the "pros" of those policies? since it was a discussion

Yeah its the same thing! I wrote all the effects it would have on the economy. Pro's and con's. Not really in the mood to type right now so sorry

 

[Rashmit Arora]

th
the question was about international trade! wasn't it? and could we write the effect on the economy?

Yes yes, you can totally do that. If followed by an evaluation of the surplus, the answers bang on

 

[ibadsiddiqi]

Hi dear students, a bit to add there was, a little description of economic systems as well. The main question you explained was good but you would get full marks only if you take into account each and every terminology used in the question. I mean to say a little description of economic systems followed by a detailed explanation of four functions of money with its good characteristics. Any how you explained it well. Nice but you may have to lose 1 or 2 marks to overlook economic systems. Best of luck to all. You may post your doubts regarding P3 and P4 at [email protected] to Qamar Baloch to get your problems solved to the maximum level InshaAllah.

I explained each of the economic systems!..so i can expect full marks?

 

[shayreeikg]

yes i wrote the similar! normal goods and inferior goods! i explained the ones selling the normal goods wouldnt benefit due to falling incomes and increasing unemployment meanwhile those selling more inferior goods would benefit

in 4a was it about the managed or fixed system ?

 

[Mattman]

in 4a was it about the managed or fixed system ?

you can say both. How u awnsered 4b?

 

[Nisrit Pandey]

anybody done number 3 lets discuss!
A) explain why a train company decides to increase its prices during busier travel times and to reduce its prices during less busy travel times.
the first question required the description of elasticity and its relation to revenue right?
first i explained price elasticity of demand what inelastic and elastic meant and then explained the required context with revenue

 

[kitty18]

i wrote the same, what about b?

 

[Nisrit Pandey]

i wrote the same, what about b?

question was : discuss why a government might choose to run a private good like train travel.
i gave the introduction of private good
then private sectors approach towards the project and goverment's approach
i gave the example of how there would be over production or under production if externalities exist if controlled by a private sector but government pricing would include all that
i explained private sector might involve in monopoly
oh god i forgot to explain government's weaknesses like it may not be an expertise
probably get a 7

 

[Qamar Baloch]

I explained each of the economic systems!..so i can expect full marks?

Dear main focus must be on functions of money including medium of exchange, standard of deferred payment, measure of value and store of value with its good characteristics including acceptability, durability, divisibility, scarcity, homogeneity, and portability etc. But you were to at least mention which economic systems can be at least in two three lines. Then comparing the usefulness of money and problems of barter system.

 

[Qamar Baloch]

ibadsiddiqi: You may visit my post named A2 economics P4 guess for proper interaction and discussion for p3 and p4.

 

[junaidaftab]

Sir, what was required in question 3b, discuss why a government might choose to run a private good like train travel?

 

[123add1]

did any 1 attempt Q2,the money and PPC one?

 

[123add1]

Eh? devaluation is expenditure switching not reducing/dampening..or you meant to write that as an alternative to what the govt can do? in that case ya u have a point

Ya what about the question on why China has a better current acc balance than India..I awnsered china has a cheaper currency and employs protectionism policies

i wrote china had comparative advantage in many goods and services and relative inflation rate was less in china compared to other countries.is this correct?

 

[123add1]

Dear main focus must be on functions of money including medium of exchange, standard of deferred payment, measure of value and store of value with its good characteristics including acceptability, durability, divisibility, scarcity, homogeneity, and portability etc. But you were to at least mention which economic systems can be at least in two three lines. Then comparing the usefulness of money and problems of barter system.

sir plz tell what we had to write in PPC question?i wrote that over time factors of production and technology change that could cause both inward or outward shift depending on the direction of change.i also wrote in future there could be wars or natural disasters,labor force could change due to population changes,technology improves over time and a country can discover new natural resources such as coal reserves in pakistan.plz comment