Pearson Edexcel Level 3 GCE 2025/2026 ECONOMICS 8EC0/02 MERGED QUESTION PAPER + MARK SCHEME

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Centre Number Candidate Number




Pearson Edexcel Level
3 GCE
Monday 19 May
Morning (Time: 1 hour 30 minutes)
2025 referen 8EC0/
ce
Economics A Paper 02
🟐 🟐


Advanced Subsidiary
PAPER 2: The UK Economy – Performance and
Policies

You must have: Total Marks
Source Booklet (enclosed)



Instructions

• Use black ink or ball-point pen.
• Fill in the boxes at the top of this page with your
centre number and candidate number.
• There are two sections in this question paper.
name,
• Answer all questions in
• In Section B, answer all of questions 6(a) to 6(e) and one question from
• Answer
Section
6(f) the
A. questions
or 6(g). in the
– there may be spaces
more space than you need.

Information
provided

• The total mark for this paper is 80.
• The marks for each question are shown in
– use this as a guide as to how much time to spend on each question.
• Calculators may be used.
brackets
Advice

• Read each question carefully before you start to answer it.
• Check your answers if you have time at
the end.
Turn over


P72115A
©2025 Pearson
Education Ltd. Y:1/1/1/

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QUESTION 1 BEGINS ON THE NEXT PAGE
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2

, SECTION A
Answer ALL questions. Write your answers in the spaces provided.
Some questions must be answered with a cross in a box . If you
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change your mind about an answer, put a line through the box and
then mark your new answer with a cross .
You are advised to spend 25 minutes on this section.
Use the data to support your answers where
relevant. You may annotate and include diagrams
in your answers.
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1 Between January 2020 and December 2020, the rate of
unemployment in the UK increased from 3.9% to 5.2%. This was as a
result of the UK economy experiencing a recession.
(a) Which one of the following best describes this cause of unemployment?
(1)
A Cyclical
B Frictional
C Seasonal
D Structural
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(b) With reference to the information above, explain one possible effect
of the increase in the rate of unemployment on the UK
government budget. (3)

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(Total for Question 1 = 4 marks)
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, 2 The table shows average UK house prices between January 2023 and
March 2023.




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Month and Average house price
year (£)
January 2023 286 321

February 2023 284 152

March 2023 281 555

(Source: adapted from
https://landregistry.data.gov.uk/)
(1)
(a) Which one of the following can be deduced from the table?

A Between January 2023 and February 2023, average UK house
prices fell by £2 597
B The average UK house price in March 2023 is 16.65%




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higher than in January 2023
C The index number of average UK house prices for March
2023 is 100
D The ratio of the average UK house price in February 2023
to the average UK house price in March 2023 is 1 :
0.99




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