Economics 9708 · AS & A Level · Price stability and inflation

Price stability and inflation — practice question

The table shows information about unemployment rates and spending on unemployment benefits in the United Kingdom in 2007 and 2009. 2007: unemployment rate 2.7%, expenditure on unemployment benefits as % of GDP 1.6. 2009: unemployment rate 4.7%, expenditure 3.4% of GDP. What can definitely be concluded from the table?

  • AMore of the workforce was unemployed in 2009 than in 2007.
  • BThe number of workers in employment was higher in 2007 than in 2009.
  • CUnemployment benefits were more generous in 2009 than in 2007.
  • DUnemployment increased faster than expenditure on unemployment benefits.

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI