(a)[8]
Explain, with the help of a diagram(s), how changes in aggregate demand and aggregate supply can cause inflation in an economy.
(b)[12]
Discuss whether deflation is more of a problem in an economy than inflation.
Economics 9708 · AS & A Level · Economic growth
Economic growth — practice question
Worked solution & mark scheme
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Knowledge: Diagram illustrating a change in aggregate demand (1 mark).” …
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