Economics 9708 · AS & A Level · Maximum and minimum prices

Maximum and minimum prices — practice question

(a)[2]

With reference to the data identify two characteristics of a command economy in Vietnam.

(b)[4]

Explain how the actions of the Vietnamese Government in 2009 might have caused any two different types of inflation to arise in the Vietnamese economy.

(c)[2]

Suggest two reasons why an inflation rate of 8.9% might not worry a government.

(d)[6]
  • Compare how changes in housing prices contributed to the change in the CPI with the contribution made by changes in education prices. [2]
  • Analyse two possible reasons for the Government’s choice of the items included for price control. [4]
(e)[6]

Discuss the desirability of a policy of widespread price controls.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Price controls / higher minimum price for exported rice

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