Cambridge O Level: Economics 2281/22 May/June 2020
Cambridge O Level: Economics 2281/22 May/June 2020
Cambridge O Level: Economics 2281/22 May/June 2020
ECONOMICS 2281/22
Paper 2 Structured Questions May/June 2020
MARK SCHEME
Maximum Mark: 90
Published
Students did not sit exam papers in the June 2020 series due to the Covid-19 global pandemic.
This mark scheme is published to support teachers and students and should be read together with the
question paper. It shows the requirements of the exam. The answer column of the mark scheme shows the
proposed basis on which Examiners would award marks for this exam. Where appropriate, this column also
provides the most likely acceptable alternative responses expected from students. Examiners usually review
the mark scheme after they have seen student responses and update the mark scheme if appropriate. In the
June series, Examiners were unable to consider the acceptability of alternative responses, as there were no
student responses to consider.
Mark schemes should usually be read together with the Principal Examiner Report for Teachers. However,
because students did not sit exam papers, there is no Principal Examiner Report for Teachers for the June
2020 series.
Cambridge International will not enter into discussions about these mark schemes.
Cambridge International is publishing the mark schemes for the June 2020 series for most Cambridge
IGCSE™ and Cambridge International A & AS Level components, and some Cambridge O Level
components.
These general marking principles must be applied by all examiners when marking candidate answers.
They should be applied alongside the specific content of the mark scheme or generic level descriptors
for a question. Each question paper and mark scheme will also comply with these marking principles.
• the specific content of the mark scheme or the generic level descriptors for the question
• the specific skills defined in the mark scheme or in the generic level descriptors for the question
• the standard of response required by a candidate as exemplified by the standardisation scripts.
Marks awarded are always whole marks (not half marks, or other fractions).
• marks are awarded for correct/valid answers, as defined in the mark scheme. However, credit
is given for valid answers which go beyond the scope of the syllabus and mark scheme,
referring to your Team Leader as appropriate
• marks are awarded when candidates clearly demonstrate what they know and can do
• marks are not deducted for errors
• marks are not deducted for omissions
• answers should only be judged on the quality of spelling, punctuation and grammar when these
features are specifically assessed by the question as indicated by the mark scheme. The
meaning, however, should be unambiguous.
Rules must be applied consistently e.g. in situations where candidates have not followed
instructions or in the application of generic level descriptors.
Marks should be awarded using the full range of marks defined in the mark scheme for the question
(however; the use of the full mark range may be limited according to the quality of the candidate
responses seen).
Marks awarded are based solely on the requirements as defined in the mark scheme. Marks should
not be awarded with grade thresholds or grade descriptors in mind.
3 Calculation questions:
• The mark scheme will show the steps in the most likely correct method(s), the mark for each
step, the correct answer(s) and the mark for each answer.
• If working/explanation is considered essential for full credit, this will be indicated in the
question paper and in the mark scheme. In all other instances, the correct answer to a
calculation should be given full credit, even if no supporting working is shown.
• Where the candidate uses a valid method which is not covered by the mark scheme, award
equivalent marks for reaching equivalent stages.
• Where an answer makes use of a candidate’s own incorrect figure from previous working,
the ‘own figure rule’ (OFR) applies: full marks will be given if a correct and complete method
is used. Further guidance will be included in the mark scheme where necessary and any
exceptions to this general principle will be noted.
4 Annotation:
• For point marking, ticks are used to indicate correct answers and crosses to indicate wrong
answers. There is a direct relationship between ticks and marks.
• Other annotations will be used by examiners as agreed during standardisation, and the
meaning will be understood by all examiners who mark that paper.
• For levels of response marking, each level awarded should be clearly annotated on the script
the first time it is achieved.
1 Make sure that you have completed the relevant training and have access to the RM Assessor
Guide.
2 Make sure that you have read and understand the question paper, which you can download from
https://support.rm.com/ca
3 Log in to RM Assessor then mark and submit the required number of practice and standardisation
scripts. You will need to mark the standardisation scripts to the required accuracy in order to be
approved for marking live scripts. You may be asked to re-mark them, or to mark a second
sample, if you do not meet the required accuracy on your first attempt.
MARKING PROCESS
1 Mark strictly to the FINAL mark scheme, applying the criteria consistently and the general
marking principles outlined on the previous page.
2 If you are in doubt about applying the mark scheme, consult your Team Leader.
3 Mark at a steady rate through the marking period. Do not rush, and do not leave too much until
the end. If you anticipate a problem in meeting the deadline, contact your Team Leader
immediately and the Examiners’ Helpdesk.
4 Examiners will prepare a brief report on the performance of candidates to send to their Team
Leader via email by the end of the marking period. The Examiner should note strengths seen in
answers and common errors or weaknesses. Constructive comments on the question paper,
mark scheme or procedures are also appreciated.
MARKING SPECIFICS
Crossed out work
1 All a candidate’s answers, crossed out or not, optional or not, must be marked.
2 The only response not to be marked is one that has been crossed out and replaced by another
response for that exact same question.
3 Consequently, if a candidate has crossed out their response to an optional question and gone on
to answer a different optional question then both attempts must be marked. The higher mark will
be awarded by the system according to the rubric.
Annotation
1 Every question must have at least one annotation e.g. <NAQ> if it is an NR and <X> or <seen> if
0 marks are awarded.
2 Every mark awarded for a question (as shown in the mark input box to the right of the
screen) must be indicated by a correctly positioned tick on the script. The number in the
box below the tick annotation must be equal to the mark awarded in the input box.
3 Every page of a script must have at least one annotation e.g. <BP> for a blank page.
–$36.5bn (1).
1(e) Analyse why the children of poor families tend to receive less 4
education than the children of rich families.
1(f) Analyse the relationship between GDP per head and imports per head. 5
Award up to 4 marks for logical reasons why it might, which may include:
• education standards may rise (1) which may increase those qualified to
be teachers (1)
• working conditions may improve (1) with better buildings (1)
• population is increasing (1) which may increase the size of the labour
force (1).
Award up to 4 marks for logical reasons why it might not, which may include:
• wages may not rise (1) teachers may switch to other jobs (1)
• teachers may emigrate to other countries (1)
• the qualifications required to be a teacher may increase (1) by more
than educational standards rise (1).
1(h) Discuss whether or not an increase in its import tariffs would be likely 6
to benefit the Pakistani economy.
Award up to 4 marks for logical reasons why it might, which may include:
• may reduce the trade deficit (1) by reducing demand for imports (1)
• tax revenue may increase (1) enabling the government to increase its
spending (1)
• may help protect infant industries (1) until they can take advantage of
economies of scale (1).
Award up to 4 marks for logical reasons why it might not, which may include:
• demand for some finished imports may be price inelastic (1)
• demand for capital goods / raw materials may be inelastic (1)
• incomes may rise (1), leading to higher spending on imports (1)
• other countries may impose trade restrictions (1) reducing Pakistan’s
ability to export (1).
2(c) Analyse, using a demand and supply diagram, how a subsidy given to 6
producers could affect the market for electric cars.
2(d) Discuss whether cars should be produced by the private sector or the 8
public sector.
3(d) Discuss whether or not a central bank should raise the rate of interest. 8
Why it should:
• to reduce demand-pull inflation as a higher interest rate may encourage
to spend less as it may discourage borrowing and encourage saving
• to reduce borrowing if people and firms are building up unsustainable
debt
• to raise the exchange rate if there is downward pressure on a fixed
exchange rate
• to reduce a current account deficit if it is thought that lower spending will
reduce imports and may discourage exports.
4(c) Analyse, using a production possibility curve (PPC) diagram, the effect 6
of a decrease in population size on an economy.
Why it might:
• older people may be an economic asset through their knowledge and
experience
• the retirement age may be raised so that the labour force may increase
• in some countries, an increase in the average age of the population
may mean more people are in the labour force and may reduce the
dependency ratio
• may indicate a good standard of living increasing life expectancy.
5(a) State two key questions about how resources are allocated. 2
5(b) Explain two fiscal policy measures that can be used to reduce poverty. 4