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    No Indexes are adjusted values, not percentages, so you had to draw bar chart.Answers to some Q

    Q) what has lead to shift of rightward shift of AD? Government spending ( Not exports)
    Q)NAT INCOME=EXPENDITURE=OUTPUT
    Q) THE GDP CAPITA PER HEAD HAS NOT CHANGED OVER TIME

    REMIND ME OF REST, AND ILL ANSWER BACK!





    FOR YOUR 10 MARKER:

    SHIFT AD LEFT AS POUND HAS STRENGTHENED
    ALSO SHIFT SRAS RIGHTWARDS AS IT IS CHEAPER FOR UK FIRMS TO IMPORT. REDUCING PRICE LEVEL.
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    For the rightward shift of AD, it said budget deficit, not government spending. But I still agree that it could have been budget deficit but it definitely could've been exports too as it said all other things being equal
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    Your'e right!, However regardless of the point, what is the largest component of AD (after Consumption) G?
    Yep, therefore its more likely that as the deficit has increased there is more spending in the economy, leading to positive multipliers. I agree it is a very awkward question, but general economic information would dictate, particularly, for the UK a rise in exports is not significant enough to increase AD Substantially. The Current Account Deficit currently stands at -£39BN which should be general knowledge.
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    (Original post by dsfsdfds)
    Your'e right!, However regardless of the point, what is the largest component of AD (after Consumption) G?
    Yep, therefore its more likely that as the deficit has increased there is more spending in the economy, leading to positive multipliers. I agree it is a very awkward question, but general economic information would dictate, particularly, for the UK a rise in exports is not significant enough to increase AD Substantially. The Current Account Deficit currently stands at -£39BN which should be general knowledge.
    I suppose so... In my GCSEs we had a geography question that caused debate so they gave everbody the marks- maybe they'll do it for this question?
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    well, im not disagreeing with you, that could be the potential outcome, however given that they have made exams more complicated. i think the devils in the detail. No one cany say but there is a more likely chance that it is due to the Budget Deficit. Both are correct , but which is more likely? For example you wake up tmr and need to decide hot to improve your economy, do you wait for exports and their long time lags, which may not increase AD by a big big amount. Or have a fiscal spending plan injecting £10BN tmr in both public and private sector? which one would shift AD Out the most?
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    I thought the gdp per capita had grown in 2012
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    (Original post by frefrewf)
    well, im not disagreeing with you, that could be the potential outcome, however given that they have made exams more complicated. i think the devils in the detail. No one cany say but there is a more likely chance that it is due to the Budget Deficit. Both are correct , but which is more likely? For example you wake up tmr and need to decide hot to improve your economy, do you wait for exports and their long time lags, which may not increase AD by a big big amount. Or have a fiscal spending plan injecting £10BN tmr in both public and private sector? which one would shift AD Out the most?
    Yeah it would be G. Spending, oh well maybe they'll discount it, maybe not
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    I did exports as there was no supply curve well i think that the question is unfair as both are correct. What did everyone get for the last one with the LRAS curve ?
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    factor mobility one?
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    (Original post by Simosos)
    factor mobility one?
    supply side policies used to improve factor immobility
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    the trend rate one? spare capacity fell, increased etc
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    Being honest, what mark are we looking at for an A?
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    QUOTE=Kaasi;65086145]Being honest, what mark are we looking at for an A?[/QUOTE]

    53/4 out of 70
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    grade boundary predictions for an A? I am going to say 52/70 as you could drop 18 marks in last years old spec paper.
 
 
 
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