Please write clearly in block capitals.
Centre number Candidate number INTERNATIONAL AS
Surname ECONOMICS
Forename(s)
Candidate signature
EC01
I declare this is my own work. Unit 1 The Operation of Markets, Market Failure and the Role of
Government
INTERNATIONAL AS
Mark scheme
ECONOMICS
January 2026
Unit 1 The Operation of Markets, Market Failure and the Role of
Version: 1.0 Final
Government
Thursday 8 January 2026 07:00 UK Time Time allowed: 1 hour 45 minutes
Materials
For Examiner’s Use
For this paper you must have:
• the Source Booklet, provided as an insert (enclosed) Question Mark
• a calculator, which you are expected to use where appropriate. 1–15
16
Instructions
• Use black ink or black ball-point pen. Pencil should only be used for drawing. 17
• Fill in the boxes at the top of this page. 18
• Answer all questions. 19
• You must answer the questions in the spaces provided. Do not write
outside the box around each page or on blank pages. 20
• Do not write in the Source Booklet. 21
• If you need extra space for your answer(s), use the lined pages at the end of
TOTAL
this book. Write the question number against your answer(s).
• Do all rough work in this book. Cross through any work you do not
want to be marked.
Information
• The marks for questions are shown in brackets.
• The maximum mark for this paper is 80.
• You may use a bilingual dictionary for this exam.
• You may not use an English dictionary.
*jan26EC0101* EC01
IB/G/Jan26/G4005/V7
, 2
MARK SCHEME – INTERNATIONAL AS ECONOMICS – EC01 – JANUARY 2026
Do not write
outside the
Section A box
Mark schemes are prepared by the Lead Assessment Writer and considered, together with the relevant
Answer all questions in the spaces provided.
questions, by a panel of subject teachers. This mark scheme includes any amendments made at the
standardisation events which all associates participate in and is the scheme which was used by them in
this examination. The standardisation process ensures that the mark scheme covers the students’
Only one answer per question is allowed. responses to questions and that every associate understands and applies it in the same correct way.
As preparation for standardisation each associate analyses a number of students’ scripts. Alternative
For each question completely fill in the circle alongside the appropriate answer. answers not already covered by the mark scheme are discussed and legislated for. If, after the
standardisation process, associates encounter unusual answers which have not been raised they are
CORRECT METHOD WRONG METHODS required to refer these to the Lead Examiner.
If you want to change your answer you must cross out your original answer as shown. It must be stressed that a mark scheme is a working document, in many cases further developed and
expanded on the basis of students’ reactions to a particular paper. Assumptions about future mark
If you wish to return to an answer previously crossed out, ring the answer you now wish to select schemes on the basis of one year’s document should be avoided; whilst the guiding principles of
as shown. assessment remain constant, details will change, depending on the content of a particular examination
paper.
Further copies of this mark scheme are available from
0 1 The central purpose of economic activity is to
[1 mark]
A improve the distribution of income.
B maximise production of goods and services.
C minimise costs of production.
D satisfy needs and wants.
information
OxfordAQA retains the on all its publications. However, registered schools/colleges for OxfordAQA are permitted to copy material from this booklet for
their own internal use, llowing important exception: OxfordAQA cannot give permission to schools/colleges to photocopy any material that is
acknowledged to a third party even for internal use within the centre.
OxfordAQA International Examinations and its licensors. All rights reserved.
*02*
2
IB/G/Jan26/EC01
, 3
MARK SCHEME – INTERNATIONAL AS ECONOMICS – EC01 – JANUARY 2026
Do not write
outside the
0 2 Figure 1 shows the production possibility boundary for a firm that produces tables box
and chairs.
International AS Economics mark scheme
Figure 1
How to mark
Aims
When you are marking your allocation of scripts your main aims should be to:
• recognise and identify the achievements of students
• place students in the appropriate mark band and in the appropriate part of that mark band (high, low,
middle)
• record your judgements with brief notes, annotations and comments that are relevant to the mark
scheme and make it clear to other examiners how you have arrived at the numerical mark awarded
• put into a rank order the achievements of students (not to grade them – that is done later using the
rank order that your marking has produced)
• ensure comparability of assessment for all students, regardless of question or examiner.
Approach
It is important to be open-minded and positive when marking scripts.
What is the opportunity cost if the output of chairs increases from 60 to 70? The specification recognises the variety of experiences and knowledge that students will have. It
[1 mark] encourages them to study Economics in a way that is relevant to them. The questions have been
designed to give them opportunities to discuss what they have found out about Economics. It is
A 10 chairs important to assess the quality of what the student offers.
Assessment Objectives
B 10 tables
This component requires students to:
C Less than 10 tables
AO1 Demonstrate knowledge of terms/concepts and theories/models to show an
understanding of the behaviour of economic agents and how they are affected by and
D More than 10 tables respond to economic issues.
AO2 Apply knowledge and understanding to various economic contexts to show how
economic agents are affected by and respond to economic issues.
0 3 Which one of the following is most likely to be a characteristic of a concentrated market?
AO3 Analyse issues within economics, showing an understanding of their impact on
[1 mark] economic agents.
A Firms are located in one part of the country. AO4 Evaluate economic arguments and use qualitative and quantitative evidence to support
informed judgements relating to economic issues.
B Firms find it difficult to enter the market.
The marking grids
C Firms focus on supplying one type of good. The marking grids cover all the Assessment Objectives indicated as being assessed in each question,
followed by indicative content for individual tasks. These have been designed to allow assessment of
D Firms specialise in one stage of the production process. the range of knowledge, understanding and skills that the specification demands.
The indicative content gives examples of the kind of things students might cover in their responses.
They are neither exhaustive nor required – they are simply indicative of what could appear. Other valid
content presented in student responses should always be credited.
Turn over ►
*03*
3
IB/G/Jan26/EC01
Centre number Candidate number INTERNATIONAL AS
Surname ECONOMICS
Forename(s)
Candidate signature
EC01
I declare this is my own work. Unit 1 The Operation of Markets, Market Failure and the Role of
Government
INTERNATIONAL AS
Mark scheme
ECONOMICS
January 2026
Unit 1 The Operation of Markets, Market Failure and the Role of
Version: 1.0 Final
Government
Thursday 8 January 2026 07:00 UK Time Time allowed: 1 hour 45 minutes
Materials
For Examiner’s Use
For this paper you must have:
• the Source Booklet, provided as an insert (enclosed) Question Mark
• a calculator, which you are expected to use where appropriate. 1–15
16
Instructions
• Use black ink or black ball-point pen. Pencil should only be used for drawing. 17
• Fill in the boxes at the top of this page. 18
• Answer all questions. 19
• You must answer the questions in the spaces provided. Do not write
outside the box around each page or on blank pages. 20
• Do not write in the Source Booklet. 21
• If you need extra space for your answer(s), use the lined pages at the end of
TOTAL
this book. Write the question number against your answer(s).
• Do all rough work in this book. Cross through any work you do not
want to be marked.
Information
• The marks for questions are shown in brackets.
• The maximum mark for this paper is 80.
• You may use a bilingual dictionary for this exam.
• You may not use an English dictionary.
*jan26EC0101* EC01
IB/G/Jan26/G4005/V7
, 2
MARK SCHEME – INTERNATIONAL AS ECONOMICS – EC01 – JANUARY 2026
Do not write
outside the
Section A box
Mark schemes are prepared by the Lead Assessment Writer and considered, together with the relevant
Answer all questions in the spaces provided.
questions, by a panel of subject teachers. This mark scheme includes any amendments made at the
standardisation events which all associates participate in and is the scheme which was used by them in
this examination. The standardisation process ensures that the mark scheme covers the students’
Only one answer per question is allowed. responses to questions and that every associate understands and applies it in the same correct way.
As preparation for standardisation each associate analyses a number of students’ scripts. Alternative
For each question completely fill in the circle alongside the appropriate answer. answers not already covered by the mark scheme are discussed and legislated for. If, after the
standardisation process, associates encounter unusual answers which have not been raised they are
CORRECT METHOD WRONG METHODS required to refer these to the Lead Examiner.
If you want to change your answer you must cross out your original answer as shown. It must be stressed that a mark scheme is a working document, in many cases further developed and
expanded on the basis of students’ reactions to a particular paper. Assumptions about future mark
If you wish to return to an answer previously crossed out, ring the answer you now wish to select schemes on the basis of one year’s document should be avoided; whilst the guiding principles of
as shown. assessment remain constant, details will change, depending on the content of a particular examination
paper.
Further copies of this mark scheme are available from
0 1 The central purpose of economic activity is to
[1 mark]
A improve the distribution of income.
B maximise production of goods and services.
C minimise costs of production.
D satisfy needs and wants.
information
OxfordAQA retains the on all its publications. However, registered schools/colleges for OxfordAQA are permitted to copy material from this booklet for
their own internal use, llowing important exception: OxfordAQA cannot give permission to schools/colleges to photocopy any material that is
acknowledged to a third party even for internal use within the centre.
OxfordAQA International Examinations and its licensors. All rights reserved.
*02*
2
IB/G/Jan26/EC01
, 3
MARK SCHEME – INTERNATIONAL AS ECONOMICS – EC01 – JANUARY 2026
Do not write
outside the
0 2 Figure 1 shows the production possibility boundary for a firm that produces tables box
and chairs.
International AS Economics mark scheme
Figure 1
How to mark
Aims
When you are marking your allocation of scripts your main aims should be to:
• recognise and identify the achievements of students
• place students in the appropriate mark band and in the appropriate part of that mark band (high, low,
middle)
• record your judgements with brief notes, annotations and comments that are relevant to the mark
scheme and make it clear to other examiners how you have arrived at the numerical mark awarded
• put into a rank order the achievements of students (not to grade them – that is done later using the
rank order that your marking has produced)
• ensure comparability of assessment for all students, regardless of question or examiner.
Approach
It is important to be open-minded and positive when marking scripts.
What is the opportunity cost if the output of chairs increases from 60 to 70? The specification recognises the variety of experiences and knowledge that students will have. It
[1 mark] encourages them to study Economics in a way that is relevant to them. The questions have been
designed to give them opportunities to discuss what they have found out about Economics. It is
A 10 chairs important to assess the quality of what the student offers.
Assessment Objectives
B 10 tables
This component requires students to:
C Less than 10 tables
AO1 Demonstrate knowledge of terms/concepts and theories/models to show an
understanding of the behaviour of economic agents and how they are affected by and
D More than 10 tables respond to economic issues.
AO2 Apply knowledge and understanding to various economic contexts to show how
economic agents are affected by and respond to economic issues.
0 3 Which one of the following is most likely to be a characteristic of a concentrated market?
AO3 Analyse issues within economics, showing an understanding of their impact on
[1 mark] economic agents.
A Firms are located in one part of the country. AO4 Evaluate economic arguments and use qualitative and quantitative evidence to support
informed judgements relating to economic issues.
B Firms find it difficult to enter the market.
The marking grids
C Firms focus on supplying one type of good. The marking grids cover all the Assessment Objectives indicated as being assessed in each question,
followed by indicative content for individual tasks. These have been designed to allow assessment of
D Firms specialise in one stage of the production process. the range of knowledge, understanding and skills that the specification demands.
The indicative content gives examples of the kind of things students might cover in their responses.
They are neither exhaustive nor required – they are simply indicative of what could appear. Other valid
content presented in student responses should always be credited.
Turn over ►
*03*
3
IB/G/Jan26/EC01
