Pearson Edexcel a level economics b (9EB0/02)
question paper 2 june 2024 merged with mark
scheme
, Answer ALL questions.
SECTION A
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Read the following extracts (A to E) before answering Question 1.
Write your answers in the spaces provided.
Extract A
Trade Union Congress report on inflation
Inflation in 2023 has not been driven by pay, it was driven by energy and overseas
commodity price shocks. While workers and their unions sought to protect themselves
with higher wages, they are not driving price rises. But even though inflation originated
from higher costs on international markets, the government has focused on measures 5
that seek to reduce demand in the economy.
The Bank of England’s response has been to rapidly raise interest rates from 0.1% to
5.25%. This approach hits some groups far harder than others. Costs have increased
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rapidly for households with unsecured debt, people renting properties, those with
outstanding mortgage payments and firms relying on credit. Bank and energy company 10
profits, city bonuses and salaries for certain professional and business services have risen.
(Source: adapted from https://www.tuc.org.uk/research-analysis/reports/workers-are-not-
blame-cost-living-crisis)
Extract B
Food poverty and health
In June 2023, a School And Public Health Nurses Association (SAPHNA) report found a
deterioration in children’s health due to a rise in the cost of food. The Vice-Chair of the
Local Government Association’s Community Wellbeing Board said:
“These findings are deeply concerning and show that a rise in the cost of living is having 5
harmful effects on children’s health. Food inflation is at its highest for almost 50 years and
this is hitting the poorest households hardest. If a child has a free school meal, that will
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save their family £500 a year. This is now more important than ever.”
In October 2023, the Deputy Conservative Party Chair, Lee Anderson, claimed that “there
is no poverty in Britain”. Mr Anderson said that he “doesn’t believe” in “poverty nonsense” 10
and that the UK “is not an impoverished island”.
(Source: adapted from https://www.local.gov.uk/about/news/concerning-food-inflation-rise-
impacts-childrens-health-lga-responds-saphna-report and https://www.independent.co.uk/
tv/news/lee-anderson-poverty-tory-conference-b2423960.html)
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, Extract C
Child Poverty in 2023
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Education is starting to be seen as a luxury, as the costs associated with getting a child to
school and successfully engaging in education become too much. Many households are
going without heating or washing due to the significant costs of doing so. This is leaving
children without basic levels of hygiene and wellbeing, with many living in cold, damp 5
homes. They cannot afford the basic standard of physical care required to make their
attendance in education possible, let alone the essential resources required to travel to
their education settings, or access learning online and at home.
(Source: adapted from https://buttleuk.org/news/news-list/state-of-child-poverty-2023/)
Extract D
The index for bread prices in the United Kingdom from 2018 to 2023
Average price
Year white sliced bread Index
(800 g)
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2018 £1.05 100
2019 £1.07 102
2020 £1.05 100
2021 £1.06 101
2022 £1.20 114
2023 £1.36
(Source: adapted from https://www.ons.gov.uk/economy/inflationandpriceindices/
timeseries/czoh/mm23)
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3
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, Extract E
How total household disposable income was shared between quintiles in the UK
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in 2022
Bottom
fifth, 9%
Second fifth,
13%
Top fifth, 36%
Third fifth, 18%
Fourth fifth, 24%
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(Source: adapted from https://www.ons.gov.uk/peoplepopulationandcommunity/
personalandhouseholdfinances/incomeandwealth/bulletins/
householddisposableincomeandinequality/financialyearending2022)
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4
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question paper 2 june 2024 merged with mark
scheme
, Answer ALL questions.
SECTION A
DO NOT WRITE IN THIS AREA
Read the following extracts (A to E) before answering Question 1.
Write your answers in the spaces provided.
Extract A
Trade Union Congress report on inflation
Inflation in 2023 has not been driven by pay, it was driven by energy and overseas
commodity price shocks. While workers and their unions sought to protect themselves
with higher wages, they are not driving price rises. But even though inflation originated
from higher costs on international markets, the government has focused on measures 5
that seek to reduce demand in the economy.
The Bank of England’s response has been to rapidly raise interest rates from 0.1% to
5.25%. This approach hits some groups far harder than others. Costs have increased
DO NOT WRITE IN THIS AREA
rapidly for households with unsecured debt, people renting properties, those with
outstanding mortgage payments and firms relying on credit. Bank and energy company 10
profits, city bonuses and salaries for certain professional and business services have risen.
(Source: adapted from https://www.tuc.org.uk/research-analysis/reports/workers-are-not-
blame-cost-living-crisis)
Extract B
Food poverty and health
In June 2023, a School And Public Health Nurses Association (SAPHNA) report found a
deterioration in children’s health due to a rise in the cost of food. The Vice-Chair of the
Local Government Association’s Community Wellbeing Board said:
“These findings are deeply concerning and show that a rise in the cost of living is having 5
harmful effects on children’s health. Food inflation is at its highest for almost 50 years and
this is hitting the poorest households hardest. If a child has a free school meal, that will
DO NOT WRITE IN THIS AREA
save their family £500 a year. This is now more important than ever.”
In October 2023, the Deputy Conservative Party Chair, Lee Anderson, claimed that “there
is no poverty in Britain”. Mr Anderson said that he “doesn’t believe” in “poverty nonsense” 10
and that the UK “is not an impoverished island”.
(Source: adapted from https://www.local.gov.uk/about/news/concerning-food-inflation-rise-
impacts-childrens-health-lga-responds-saphna-report and https://www.independent.co.uk/
tv/news/lee-anderson-poverty-tory-conference-b2423960.html)
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, Extract C
Child Poverty in 2023
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Education is starting to be seen as a luxury, as the costs associated with getting a child to
school and successfully engaging in education become too much. Many households are
going without heating or washing due to the significant costs of doing so. This is leaving
children without basic levels of hygiene and wellbeing, with many living in cold, damp 5
homes. They cannot afford the basic standard of physical care required to make their
attendance in education possible, let alone the essential resources required to travel to
their education settings, or access learning online and at home.
(Source: adapted from https://buttleuk.org/news/news-list/state-of-child-poverty-2023/)
Extract D
The index for bread prices in the United Kingdom from 2018 to 2023
Average price
Year white sliced bread Index
(800 g)
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2018 £1.05 100
2019 £1.07 102
2020 £1.05 100
2021 £1.06 101
2022 £1.20 114
2023 £1.36
(Source: adapted from https://www.ons.gov.uk/economy/inflationandpriceindices/
timeseries/czoh/mm23)
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3
■■■■ Turn over
, Extract E
How total household disposable income was shared between quintiles in the UK
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in 2022
Bottom
fifth, 9%
Second fifth,
13%
Top fifth, 36%
Third fifth, 18%
Fourth fifth, 24%
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(Source: adapted from https://www.ons.gov.uk/peoplepopulationandcommunity/
personalandhouseholdfinances/incomeandwealth/bulletins/
householddisposableincomeandinequality/financialyearending2022)
DO NOT WRITE IN THIS AREA
4
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