EHS A level Economics Mock 2016 Paper 2


1) Advance reasons for and against government ownership of business organizations in a mixed economic
system. (2Omks)
2) Why does prices for agricultural products fluctuate so widely in the short run? What measures can be
implemented to stabilize prices of farm products (20mks)
3) How is the competition in the perfect competitive market different from that of the monopolistic market? (20mks)

4) To what extend can trade unions secure increase wages for member under conditions of free bargaining? (20mks)


(5) a) Explain three ways in which GDP can be measured.
b) Discuss whether an increase in the GDP necessarily means that living standards have risen. (10 +10inks)
6) How might the functions of money be affected by inflation? (20mks)
7) a) Differentiate between expenditure switching and expenditure reducing policies.
b) Discuss measures a government will use to reduce balance of payment deficit


8) a) What economic policies can a government use to achieve its objectives?

b) What are the limitations of these policies in achieving the objectives?


9) How can managers he trained on the job and off the job? (20rnks)
10) What factors can influence a manager’s choice of a channel of distribution? Why would they
want to by-pass middlemen? (10+10mks)

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