A Level Economics:

[SalmanPakRocks]

Increase in government expenditure will bring government expenditure multiplier on the economy and national income of the country will rise multiple times. job opportunities will rise and disposable income of the people will also rise. It will help them to use better quality goods and services in more quantities. they will be able to afford more durables and luxurious good. All this will help them to enjoy better standard of living and vise versa.
secondly, increase in investment by the businesses will bring investment multiplier effect and all the above phenomenon will be observed.
thirdly increase in consumer spending will also enhance economic activities.
hot money flows will overheat the economy leading to growth and higher income employmet and output. all this will again help in imroving standard of living. vise versa will be true for fall in consumption be the consumers.
use diagram to explain the multiplier effect. you may take the help of comprehensive economics by qamar baloch for further details.

However, due to increased government spending, there may be a demand pull inflation in an economy which would reduce the purchasing power of the local community, so what you're talking about is basically the short-term effect, right?

 

[rjcooo1]

Can you please post the guess paper for economics paper 2 for this year June exams? Please Sirr!

 

[Qamar Baloch]

Rawalpindi

Rawalpindi

Mustafa plaza rawalpindi azeem acadmy bookshp 6th road rawalpindi
Saeed book bank f8 markaz super jinnah islamabad

 

[Qamar Baloch]

Rawalpindi

Rawalpnindi 6 road, mustafa plaza azeem acadmy bookshop
Saeed books bank jinnah super islamabad

 

[Qamar Baloch]

S

Can you please post the guess paper for economics paper 2 for this year June exams? Please Sirr!

Sure dear
You will be getting it soon Insha Allah. Keep watching xpc.

 

[Qamar Baloch]

However, due to increased government spending, there may be a demand pull inflation in an economy which would reduce the purchasing power of the local community, so what you're talking about is basically the short-term effect, right?

Every economic action has its effects as well as reversal effects. At one time it may resolve the issue but in the subsequent time it may deteriorate the economic condition. Therefore, you can say in short run every government policy will have different effect but in the long run situation may go different.

 

[Qamar Baloch]

h

Rawalpnindi 6 road, mustafa plaza azeem acadmy bookshop
Saeed books bank jinnah super islamabad

hope u got it

 

[Qamar Baloch]

https://www.facebook.com/#!/TopicalAsLevelEconomics

 

[rjcooo1]

Please help me solve this question ASAP

 

[rjcooo1]

Andd this one pleasee ^.^

 

[rjcooo1]

Too many doubts :/

 

[saboorB]

Sir please sent AS and Alevel economics guess paper at [email protected]...I will be thankful

 

[SalmanPakRocks]

Please help me solve this question ASAP

C
Taxi fare is $12.
Equal consumer surplus means that everyone is getting the same amout of discount. Therefore, if you look at the values in the table and that in the options, you'll see that Jane is willing to pay $10 but pays $5 so the C.S would be = $5
Sara is willing to pay $8 but she pays $4 and therefore would get an equal proportion of Consumer surplus, i.e: $4
Yasmin is willing to pay $6 but she pays $3 therefore again, 50% discount means the same proportion of consumer surplus

Andd this one pleasee ^.^

This is based on calculation rather than graphical observation
Current farmer income at D and S1 = $5 x 2000 = $10,000
Now, when the supply curve shifted rightwards to D S2 therefore the income required is $10,000
Therefore, if you shift the D just by 500, it'd move to quantity 5000 and price at that level would be $2.
Therefore answer is A

Too many doubts :/

Decrease in interest rate would lead to outflow of hot money so it's not going to solve the current account problem.
Decrease in taxes would actually increase the volume of imports as people would have more money.
Decrease in tariffs would encourage import.
If the government decreases public expenditure, it'd have more money to solve the current account crisis so answer would be D

 

[rjcooo1]

C
Taxi fare is $12.
Equal consumer surplus means that everyone is getting the same amout of discount. Therefore, if you look at the values in the table and that in the options, you'll see that Jane is willing to pay $10 but pays $5 so the C.S would be = $5
Sara is willing to pay $8 but she pays $4 and therefore would get an equal proportion of Consumer surplus, i.e: $4
Yasmin is willing to pay $6 but she pays $3 therefore again, 50% discount means the same proportion of consumer surplus


This is based on calculation rather than graphical observation
Current farmer income at D and S1 = $5 x 2000 = $10,000
Now, when the supply curve shifted rightwards to D S2 therefore the income required is $10,000
Therefore, if you shift the D just by 500, it'd move to quantity 5000 and price at that level would be $2.
Therefore answer is A


Decrease in interest rate would lead to outflow of hot money so it's not going to solve the current account problem.
Decrease in taxes would actually increase the volume of imports as people would have more money.
Decrease in tariffs would encourage import.
If the government decreases public expenditure, it'd have more money to solve the current account crisis so answer would be D

The answer for the first one is D not C and I still cant understand why its D - I also chose C because of the same explanation you gave but its wrong :/

The answer for the next question is B (1000 tonnes) not 500 :/ I dont understand that one either

Thank you for the last one

The Paper came from summer 2012 v12 MCQ

Thank you for the reply though, much appreciated

 

[SalmanPakRocks]

The answer for the first one is D not C and I still cant understand why its D - I also chose C because of the same explanation you gave but its wrong :/

The answer for the next question is B (1000 tonnes) not 500 :/ I dont understand that one either

Thank you for the last one

The Paper came from summer 2012 v12 MCQ

Thank you for the reply though, much appreciated

Oh! :O It came in my mocks and I choosed C and it was correct. I'll recheck it.

 

[SalmanPakRocks]

The answer for the first one is D not C and I still cant understand why its D - I also chose C because of the same explanation you gave but its wrong :/

The answer for the next question is B (1000 tonnes) not 500 :/ I dont understand that one either

Thank you for the last one

The Paper came from summer 2012 v12 MCQ

Thank you for the reply though, much appreciated

My bad, it should be D.
My sir explained and told me that I didn't read the question carefully.
It says that the Consumer surplus should be equal, if you see the values of D, you'd notice that Jane is $6 and therefore getting a consumer surplus of $4. Sara pays $4 and therefore gets Consumer surplus of $4 and lastly, Yasmin pays $2 and gets consumer surplus of $4.
I hope you get it now. I'll explain the farmer's income one with the help of diagram shortly.

 

[Asheerah angel]

Discuss whether the principle of comparative advantage is a satisfactory explanation of the trade pattern of an economy with which you are familiar.

 

[SalmanPakRocks]

Discuss whether the principle of comparative advantage is a satisfactory explanation of the trade pattern of an economy with which you are familiar.

Country you're familiar with means your country, now we've to state here what comparative advantage basically is along with an example and a diagram. Now you've to analyse all the assumptions of comparative advantages; example: No transportation cost, only 2 economies in the globe and only 2 good being produced. Then explain absolute advantage, here in Pakistan, absolute advantage is used as it whatever there's in greater quantity is exported.

 

[trgirl]

Sir please sent AS and Alevel economics guess paper at [email protected]...I will be thankful

Hey! Hi! Are These questions gonna come in the exam or similar ones are gonna come out well i am kinda confused but Sir if you are going to send it to him can you send it to me as well to this address [email protected]

 

[trgirl]

h

hope u got it

Hi Mr. Qamar i want to have the books you have prepared and i was not aware of the treasures that you had prepared. I just saw them today and i want to buy them. However i am living in turkey so i dont know how to help them can you help me?