Economics 0455 · IGCSE · Employment and unemployment

Employment and unemployment — practice question

Spain has experienced one of Europe's highest unemployment rates. In addition, by 2015, 3.5 million of the unemployed had been without work for at least a year. To cut unemployment and poverty, the Spanish Government has used several policy measures, including higher government spending. It has also attempted to help firms make their products’ supply more elastic.
(a)[2]

Identify two obstacles that stop a worker from getting employment.

(b)[4]

Explain two costs of long-term unemployment for the unemployed.

(c)[6]

Analyse why the price elasticity of supply can vary across products.

(d)[8]

Discuss whether higher government spending would reduce poverty.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Insufficient information about jobs

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