SubjectScout
ENAR
Sign inGet matched
Get matched
← Back to interactive practice
Print with marking points
AS & A Level · AS/A Level

Economics

Inflation, employment and stability

Name: ____________________Date: October 10, 2026
  1. 1.

    Explain the difference between disinflation and deflation, including what happens to the general price level.

    [2 marks] · no calculator
  2. 2.

    Fictional case: a fixed consumption basket costs 250 in the base year and 275 now. Calculate the current price index with base 100 and inflation since the base year.

    [2 marks]
  3. 3.

    Fictional case: an oil-price shock raises firms' costs while output falls. Analyse the aggregate supply effect and why demand contraction has a trade-off.

    [4 marks] · no calculator
  4. 4.

    Fictional case: 720000 people are employed, 80000 unemployed and actively seeking work, and 200000 outside the labour force. Calculate the unemployment rate. If 20000 unemployed people stop seeking work, with employment unchanged, calculate the new rate and interpret it.

    [4 marks]
  5. 5.

    Fictional case: retail workers lose jobs as sales move online. Evaluate retraining subsidies compared with a general spending stimulus as a response.

    [4 marks] · no calculator
  6. 6.

    Fictional case: firms expect persistent inflation after a temporary food shortage. Evaluate whether a central bank should react to expectations even if the original shortage may soon end.

    [4 marks] · no calculator

Original, unofficial practice questions from SubjectScout — not official past-paper questions.

Marking points are indicative, not an official mark scheme. Accept equivalent valid methods and supported interpretations that address the task; award each mark once without requiring the model wording.