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Inflation and unemployment

Unit: Economics

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April 2025

 2 Questions
Question 7b
​​Outline THREE causes of cost-push inflation.


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Question 1c
​​Identify EIGHT policy measures that could be adopted by developing countries to encourage industrial development.


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April 2024

 4 Questions
Question 2d
​​Summarise FOUR types of unemployment in least developed countries.


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Question 5b
​​Outline FIVE reasons why the high cost of living is a major policy issue in developing countries.


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Question 5d
​​Outline FIVE objectives of minimum wage legislation.


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Question 7c
​​Explain FOUR monetary policies that the central bank of a country might apply to control inflation.


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December 2023

 2 Questions
Question 3c
​​Outline FIVE reasons why urban unemployment is a major policy issue in developing countries.


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Question 7c
​ ​​Using an appropriate diagram, explain how a fiscal policy may be used to control a deflationary gap in an economy.


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August 2023

 3 Questions
Question 1b
​​Explain FOUR types of unemployment.


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Question 3a
​​(i) Explain the term “wage control”. 

(ii) Summarise FIVE consequences of wage control by the government in your country.


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Question 4d
​​Enumerate FIVE roles of trade unions in an economy.


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April 2023

 1 Questions
Question 3c
​​Outline SEVEN demerits of inflation targeting.


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December 2022

 3 Questions
Question 5c
​​Enumerate FOUR factors that could determine the effectiveness of trade unions.


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Question 5a
​​Explain the following types of inflation:

(i) Cost push.

(ii) Credit.

(iii) Demand pull.


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Question 2d
​​Identify FIVE reasons why unemployment is a major policy issue in developing countries.


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August 2022

 1 Questions
Question 7b
​​Highlight six policy measures that may be put in place to combat unemployment in developing countries.


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April 2022

 1 Questions
Question 7b
​​Citing real life examples, distinguish between the following types of unemployment: 

(i) "Seasonal unemployment" and "casual unemployment".

(ii) "Disguised unemployment" and "unproductive unemployment".


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Pilot December 2021

 3 Questions
Question 7b
​​Suggest the possible remedy measures to contain unemployment crisis in developing countries.


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Question 7a
​​Outline the main causes for the rise in the unemployment levels in developing countries.


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Question 6c
​​Citing reasons, suggest why rising inflation is a major cause of concern in developing countries.


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December 2021

 3 Questions
Question 7b
​​Explain four causes of a demand-pull inflation in an economy.


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Question 7a
​​(i) Define the term "inflation targeting".
(ii) State four disadvantages of inflation targeting in a country.


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Question 4a
​​Citing an example, explain the term "hidden unemployment".


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May 2021

 1 Questions
Question 4c
​​Assess seven reasons why developing countries are concerned about the high rate of unemployment in their countries.


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November 2020

 1 Questions
Question 4b
​​Differentiate between "seasonal unemployment and frictional unemployment.


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November 2019

 1 Questions
Question 5d
​​With the aid of a well labelled diagram, explain the trade-off between inflation and unemployment level,


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May 2019

 2 Questions
Question 5a
​​Differentiate between "demand deficient unemployment" and "disguised unemployment" as used in economics.


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Question 6b
​​Describe factors that determine the terms of trade in a country.


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November 2018

 2 Questions
Question 6a
Suggest measures that developing countries could adopt to curb against high levels of urban unemployment.


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Question 7a
(i) Explain the term "hyperinflation" as used in economics. 
(ii) With the help of a diagram, describe demand pull inflation. 
(iii) Highlight causes of demand pull inflation in an economy.


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May 2018

 3 Questions
Question 7a
​​ Highlight five negative effects of unemployment in an economy


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Question 4c
Discuss five ways in which inflation might cause unemployment in an economy


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Question 1a
Discuss five negative effects of inflation in an economy.


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May 2017

 1 Questions
Question 7c
Summarise nine reasons why unemployment is a major policy issue in developing countries


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November 2016

 1 Questions
Question 6c
Suggest five policy measures that could be adopted to reduce the level of unemployment in a developing country


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May 2016

 2 Questions
Question 7a
​​Summarise five causes of inflation in developing countries.


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Question 2a
​​Differentiate between the following sets of terms as used in economics:

(i) "Structural unemployment" and "keynesian unemployment".

(ii) "Narrow money" and "broad money". 


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November 2015

 1 Questions
Question 6a
​​Explain four effects of inflation on the functions of money.


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Pilot September 2015

 4 Questions
Question 6c
​ ​​Using the Phillips curve, explain the relationship between unemployment and inflation.


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Question 6b
​​ Explain three types of unemployment.


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Question 6a
​​Most developing countries experience deficits in their balance of payments.

Explain the various methods that could be used by these countries to correct deficits in their balance of payments. 


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Question 4c
​​ Briefly explain the effects ofhigh levels of inflation in an economy.


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