Economics 9708 · AS & A Level · 6.3

6.3 — practice question

(a)[2]

Compare the movements in the current account balance of Russia and the United States between 2006 and 2010.

(b)[4]

Explain two possible economic reasons why China’s international trade performance was stronger than India’s.

(c)[4]

Explain two likely economic effects of the 2009 recession on international trade.

(d)[4]

Why could a current account surplus be an important economic objective for some countries?

(e)[6]

Discuss the desirability of using an expenditure-reducing policy to cut a current account deficit.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Recognition that Russia recorded a surplus and that the United States recorded a deficit

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