In 2016, Argentina's annual inflation stood at 20%, having dropped from 40% in 2015. Inflation had stayed high since 2003. Wages were regularly increased. In addition, some employees pressed for more non-wage benefits. Industrial action, often taking the form of strikes called by trade unions, became more frequent in Argentina.
(a)[2]
Identify two non-wage influences that could affect a person’s choice of occupation.
(b)[4]
Explain two reasons why inflation occurs.
(c)[6]
Analyse the consequences of strikes for an economy.
(d)[8]
Discuss whether a rise in wages will reduce a firm’s profit.
Worked solution & mark scheme
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Security of employment” …