9708_s16_qp_42.pdf - Cambridge International Examinations Cambridge International Advanced Subsidiary and Advanced Level 9708\/42 ECONOMICS Paper 4 Data

9708_s16_qp_42.pdf - Cambridge International Examinations...

This preview shows page 1 - 3 out of 4 pages.

This document consists of 3printed pages, 1blank page and 1Insert.DC (NH) 115956/1© UCLES 2016 [Turn over* 4 8 8 1 5 6 8 9 6 9 *ECONOMICS9708/42Paper 4 Data Response and Essays May/June 20162 hours 15 minutesNo Additional Materials are required.READ THESE INSTRUCTIONS FIRSTAn answer booklet is provided inside this question paper. You should follow the instructions on the front cover of the answer booklet. If you need additional answer paper ask the invigilator for a continuation booklet.Section AAnswer Question 1.Section BAnswer any twoquestions.You may answer with reference to your own economy or other economies that you have studied where relevant to the question.The number of marks is given in brackets [ ] at the end of each question or part question.Cambridge International ExaminationsCambridge International Advanced Subsidiary and Advanced Level
Background image
29708/42/M/J/16© UCLES 2016Section AAnswer this question.1 Housing and Economic Growth in the UKIn 2013 a press article reported that ‘there has been a marked improvement in the housing market’. Potential buyers of housing had been encouraged because the central bank had fixed interest rates at an all-time low and also by a government scheme designed to give help to people wishing to buy property. The scheme meant that buyers did not have to find such a large deposit.This caused a positive outcome for the construction industry, with investment and employment rising. However, it pushed up property prices.In 2013 the average price of a house was seven times the average wage. A study recommended that the central bank should take steps to prevent house prices rising by more than 5% a year and should limit the amount people could borrow relative to their incomes. There should be regional variations to
Background image
Image of page 3

You've reached the end of your free preview.

Want to read all 4 pages?

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes