Australia suffered a drought in 2018, which led to a fall in agricultural output. In 2018, Australia’s secondary and tertiary sectors performed more strongly than its primary sector. The central bank measures used to prevent deflation affected all three sectors. Some firms gained from these measures and increased output.
(a)[2]
Identify two industries in the primary sector, other than agriculture.
(b)[4]
Explain two possible disadvantages to an economy if agricultural output falls.
(c)[6]
Analyse how a central bank could prevent deflation.
(d)[8]
Discuss whether a firm should, or should not, treat growth as its main objective.
Worked solution & mark scheme
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Mining industry.” …