Economics 9708/12 May June 2017 | Cambridge AS Level Past Papers With Mark Scheme

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1. Scarcity and rationing mechanisms, analyzing the impact of market price versus political decisions on distribution.

2. Production possibility curve shifts due to productivity enhancements in specific goods.

3. Liquidity analysis of assets, from notes and coins to savings accounts and property.

4. Supply-demand interactions:
- Elasticity changes in markets for drugs and newspapers.
- Complementary and substitute goods price and demand relationships.

5. Market dynamics:
- Consumer surplus and taxation effects on supply and demand.
- Government interventions, including subsidies, maximum prices, and protectionist policies.

6. Trade-related evaluations:
- Terms of trade improvements.
- Comparative advantage and absolute advantage in bilateral trade setups.

7. Macroeconomic policies:
- Aggregate demand shifts due to tax rate changes and government spending.
- Expenditure-dampening policies to control inflation and promote stability.