GCSE ECONOMICS EXAM SCRIPT QUESTIONS AND
SOLUTIONS 2025/2026 GRADED A+
✔✔The basic economic problem - ✔✔You have a scarce amount of resources to satisfy
your unlimited needs. Because of this you need to make choices to allocate your
resources to your important choice
So you cannot have your ideal choice
✔✔Risca saving - ✔✔The chance that your money may not be guarantee returned
✔✔What are banks type account - ✔✔Large well-established institutes that follow
certain rules
Santander Halifax nationwide
High Street by building society and internet only bank
✔✔ISA - ✔✔Individual savings account
✔✔Non bank type accounts - ✔✔Shares bonds
✔✔How are non bank type accounts risky - ✔✔If the share you buy and its price goes
up its good
But if i t goes down you loose money
✔✔Expansion of demnd - ✔✔Larger quantity and lower prices
✔✔Contraction of demnd - ✔✔Lower quantity and higher prices
✔✔What does the bank do with the money they received put in as savins - ✔✔They
give the money out as loans for other people
✔✔What does a company do with the money when someone buys a share - ✔✔The
company would us that money o invest in itself
On their products or on improving or branching out the company
✔✔What does the government do with the money it's given when someone buys a bond
off the governemnt - ✔✔The government would use the money to improve the country,
NHS public transport infrastructure
✔✔Mortgages - ✔✔It's a loan on the house - so the house is still remains a property of
the bank till it is paid off
The house is the security
✔✔Credit cards - ✔✔So you can buy or borrow up to a prearranged limit
Each month you pay it back
, Interest rates are high
✔✔Store cards - ✔✔
✔✔Factors to consider when borrowing - ✔✔Risk(debt) amount length time needed to
pay it back
✔✔AER AND APR ??? - ✔✔
✔✔2 main saving options - ✔✔Bang and non bank type accoundd
✔✔Advantages that bank type accounts provide - ✔✔ISA
And interest
✔✔HY might a share price fall - ✔✔When the investors predict that the company might
not do as well - workers supplies
When demand is low
✔✔Why a unit trust might be less risky than shares in a single firm - ✔✔Your money is
split between different shares so if 1 falls not all your money is lost
The trust manager is responsible for the money
✔✔What makes unit trusts bonds and shares more risky - ✔✔Bank type accounts are
secure - as long as it's be,ow a certain amount - government protected
Unit trusts there is a chance you could lose your money uncertainty
✔✔Why are risky non bank accounts attractive - ✔✔You could gain s lot of money -
profit
✔✔What makes getting credit difficult - ✔✔Unemployment /irregular employment
Minimum wage
Missing debt/mortgage payments
Poor credit history
✔✔What makes getting credit/loans Easier - ✔✔Assets that can be offered as security
Experian credit score of 999
Own your own house - payed mortgage
✔✔Insurance - ✔✔Most households will have insurance policies to protect their property
and possessions
So if their property or possessions are damaged or stolen insurance will cover the cost
of replacement or repairs
✔✔Ethics - ✔✔Based on moral principles or society's rules on how to behace
SOLUTIONS 2025/2026 GRADED A+
✔✔The basic economic problem - ✔✔You have a scarce amount of resources to satisfy
your unlimited needs. Because of this you need to make choices to allocate your
resources to your important choice
So you cannot have your ideal choice
✔✔Risca saving - ✔✔The chance that your money may not be guarantee returned
✔✔What are banks type account - ✔✔Large well-established institutes that follow
certain rules
Santander Halifax nationwide
High Street by building society and internet only bank
✔✔ISA - ✔✔Individual savings account
✔✔Non bank type accounts - ✔✔Shares bonds
✔✔How are non bank type accounts risky - ✔✔If the share you buy and its price goes
up its good
But if i t goes down you loose money
✔✔Expansion of demnd - ✔✔Larger quantity and lower prices
✔✔Contraction of demnd - ✔✔Lower quantity and higher prices
✔✔What does the bank do with the money they received put in as savins - ✔✔They
give the money out as loans for other people
✔✔What does a company do with the money when someone buys a share - ✔✔The
company would us that money o invest in itself
On their products or on improving or branching out the company
✔✔What does the government do with the money it's given when someone buys a bond
off the governemnt - ✔✔The government would use the money to improve the country,
NHS public transport infrastructure
✔✔Mortgages - ✔✔It's a loan on the house - so the house is still remains a property of
the bank till it is paid off
The house is the security
✔✔Credit cards - ✔✔So you can buy or borrow up to a prearranged limit
Each month you pay it back
, Interest rates are high
✔✔Store cards - ✔✔
✔✔Factors to consider when borrowing - ✔✔Risk(debt) amount length time needed to
pay it back
✔✔AER AND APR ??? - ✔✔
✔✔2 main saving options - ✔✔Bang and non bank type accoundd
✔✔Advantages that bank type accounts provide - ✔✔ISA
And interest
✔✔HY might a share price fall - ✔✔When the investors predict that the company might
not do as well - workers supplies
When demand is low
✔✔Why a unit trust might be less risky than shares in a single firm - ✔✔Your money is
split between different shares so if 1 falls not all your money is lost
The trust manager is responsible for the money
✔✔What makes unit trusts bonds and shares more risky - ✔✔Bank type accounts are
secure - as long as it's be,ow a certain amount - government protected
Unit trusts there is a chance you could lose your money uncertainty
✔✔Why are risky non bank accounts attractive - ✔✔You could gain s lot of money -
profit
✔✔What makes getting credit difficult - ✔✔Unemployment /irregular employment
Minimum wage
Missing debt/mortgage payments
Poor credit history
✔✔What makes getting credit/loans Easier - ✔✔Assets that can be offered as security
Experian credit score of 999
Own your own house - payed mortgage
✔✔Insurance - ✔✔Most households will have insurance policies to protect their property
and possessions
So if their property or possessions are damaged or stolen insurance will cover the cost
of replacement or repairs
✔✔Ethics - ✔✔Based on moral principles or society's rules on how to behace
