: Pearson Edexcel past-paper questions pack

The labour market

Past-paper questions pack

Name
Class
Date set
Date due
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Questions are numbered; the mark schemes (the answer key) follow on separate pages so the question pages can be handed out alone. www.economicsaleveltutor.com

Pearson Edexcel AS and A-level Economics past-paper questions since 2016 · 25 parts · mark schemes follow the questions · www.economicsaleveltutor.com · Questions and mark schemes © Pearson Edexcel

1. June 2025 · Paper 1 · Q5(a) · 4 marks · AO1=2,AO2=1,AO3=1

(a) Draw a labour market diagram to show the likely impact of the increase in the National Minimum Wage for hospitality employees. (4)

2. June 2025 · Paper 1 · Q5(b) · 1 marks ·

(b) There has been a significant decrease in the supply of agricultural workers in the UK. Which one of the following is the most likely cause of this decrease? (1) A Increased demand for UK-grown strawberries B Increased job security for qualified workers in the industry C Increased productivity of workers in the industry D Increased wages in the retail industry

3. June 2025 · Paper 1 · Q6(b) · 8 marks · AO1=2,AO2=2,AO3=2,AO4=2

(b) With reference to Extract C, examine two effects of increased ‘automation’ on the demand for labour. (8)

4. June 2025 · Paper 1 · Q7 · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

7 High Speed 2 (HS2) was a £100 billion UK government rail project designed to expand the existing network. The journey time between London and Manchester would take just 1 hour and 11 minutes, 54 minutes quicker than today’s fastest time. Almost 900 homes, 1 000 businesses and around 60 ancient woodlands would be destroyed by its construction. (Source: adapted from https://www.independent.co.uk/climate-change/news/ hs2-railway-route-houses-demolish-woodland-destroy-environment- impact-london-birmingham-manchester-a8582316.html) Evaluate the likely microeconomic effects of building major infrastructure projects.

5. June 2025 · Paper 1 · Q8 · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

8 In 2023, the UK prime minister Rishi Sunak said that he wanted to see all students in England study some form of mathematics until they reach the age of 18 to ‘ensure that they leave school better equipped for the jobs of the future’. This would require additional spending on education. Just half of all 16 to 19 year-olds study mathematics. Yet in a world where data is everywhere and statistics are vital in every job, the workforce will require more analytical skills than ever before. (Source: adapted from https://educationhub.blog.gov.uk/2023/01/04/ studying-maths-to-18-what-you-need-to-know/) Evaluate the likely microeconomic effects of increased spending on education.

6. June 2025 · Paper 3 · Q1(b) · 8 marks · AO1=2,AO2=2,AO3=2,AO4=2

(b) With reference to Extract B, examine two likely reasons why wages in supermarkets are above the National Minimum Wage of £10.42. (8)

7. June 2025 · Paper 3 · Q2(d) · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

(d) Evaluate the microeconomic and macroeconomic reasons for the fall in poverty in India. (25)

8. June 2025 · Paper 3 · Q2(e) · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

(e) Evaluate the microeconomic and macroeconomic effects of rapid increases in population in India. (25)

9. June 2024 · Paper 1 · Q6(b) · 8 marks · AO1=2,AO2=2,AO3=2,AO4=2

(b) Examine two factors which might influence the supply of labour in the electronics industry. (8)

10. June 2024 · Paper 3 · Q1(d) · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

(d) Evaluate the microeconomic and macroeconomic factors that explain gender-based wage differences in the UK oil and gas industry. (25)

11. June 2023 · Paper 1 · Q5(a) · 1 marks · AO2=1

(a) Which one of the following is the ratio of public sector pay relative to private sector pay in 2022? (1) A 1 : 0.97 B 1 : 1.04 C 1 : 4.0 D 1 : 14.0

12. June 2023 · Paper 1 · Q5(b) · 4 marks · AO1=2,AO2=1,AO3=1

(b) Over 90% of nurses work in the public sector. Nurses in the public sector have experienced wage rises lower than those in the private sector over the past 10 years. (Source adapted from: https://www.nuffieldtrust.org.uk/resource/chart-of- the-week-real-terms-nhs-staff-pay-from-2010-to-2020) Using the information provided and the concept of monopsony, explain why nurses in the public sector have had lower wage rises than those in the private sector. (4)

13. June 2023 · Paper 3 · Q1(d) · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

(d) Evaluate microeconomic and macroeconomic policies that could be used to reduce inequality in the UK. (25)

14. June 2023 · Paper 3 · Q2(d) · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

(d) Evaluate the microeconomic and macroeconomic effects of falling house prices. (25)

15. June 2023 · Paper 3 · Q2(e) · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

(e) Evaluate the microeconomic and macroeconomic effects of labour shortages in the UK, or a developed economy of your choice. (25)

16. June 2022 · Paper 1 · Q8 · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

8 Some occupations in the UK are facing large labour shortages. Hard-to-fill vacancies include qualified chefs, software engineers, construction workers and qualified nurses. (Source: adapted from https://www.ft.com/content/ 36baacce-ddd0-11e8-9f04-38d397e6661c) Evaluate the factors that might influence the supply of labour in an occupation of your choice.

17. June 2022 · Paper 3 · Q1(e) · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

(e) Evaluate the microeconomic and macroeconomic effects of significant increases in the minimum wage. Refer to restaurants or other food delivery services in your answer. (25)

18. November 2021 · Paper 1 · Q1(b) · 4 marks · AO1=2,AO2=1,AO3=1

(b) Explain the likely impact of migration on the wage level of engineers in Poland. (4)

19. November 2021 · Paper 1 · Q7 · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

7 The national living wage, the minimum wage for 25-year-olds and over, is expected to rise to more than £10.50 an hour in 2024 compared with £8.72 in 2020. The wage does not apply to the UK’s self-employed and ‘gig economy’ workers. Some economists said the increase was ambitious. Business groups warned that employers in sectors such as social care could be hit hard. In large parts of the north of England the living wage has already reached two-thirds of local median earnings, said Professor Shackleton. (Source adapted from: https://www.theguardian.com/uk-news/2020/mar/11/budget-2020- national-living-wage-national-insurance) Evaluate the disadvantages of a significant increase in the national living wage on a specific labour market, such as that for social care workers.

20. November 2021 · Paper 3 · Q1(c) · 12 marks · AO1=2,AO2=2,AO3=4,AO4=4

(c) Discuss the likely effects of changes in the level of migration on firms such as HCWs in the UK. Use a labour market diagram and the information provided to support your answer. (12)

21. November 2021 · Paper 3 · Q1(e) · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

(e) Evaluate the microeconomic and macroeconomic effects of increased government intervention in an industry. Refer to HCWs or another industry of your choice. (25)

22. October 2020 · Paper 1 · Q6(c) · 10 marks · AO1=2,AO2=2,AO3=2,AO4=4

(c) Assess whether complete nationalisation of the rail industry might protect employees. (10)

23. October 2020 · Paper 3 · Q2(e) · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

(e) Evaluate the microeconomic and macroeconomic effects of a decline in the literacy and numeracy skills of a country’s young workers. (25)

24. June 2019 · Paper 1 · Q7 · 25 marks · AO1=4,AO2=4,AO3=8,AO4=9

7 In July 2017 it was announced that only a third of the BBC’s 96 top earning presenters were women and that its seven highest-paid presenters were all men. According to the High Pay Centre, in 2018, UK chief executives can earn 120 times more than the average full-time worker earning £28 758. With reference to an industry of your choice, evaluate why wage differences exist within the UK labour market.

25. June 2018 · Paper 1 · Q6(e) · 15 marks · AO1=3,AO2=3,AO3=3,AO4=6

(e) With reference to Extract C and your own knowledge, discuss policies businesses and government might implement to reduce labour immobility to benefit the energy sector. (15)

Mark schemes

1. June 2025 · Paper 1 · Q5(a)

2. June 2025 · Paper 1 · Q5(b)

3. June 2025 · Paper 1 · Q6(b)

4. June 2025 · Paper 1 · Q7

5. June 2025 · Paper 1 · Q8

6. June 2025 · Paper 3 · Q1(b)

7. June 2025 · Paper 3 · Q2(d)

8. June 2025 · Paper 3 · Q2(e)

9. June 2024 · Paper 1 · Q6(b)

10. June 2024 · Paper 3 · Q1(d)

11. June 2023 · Paper 1 · Q5(a)

12. June 2023 · Paper 1 · Q5(b)

13. June 2023 · Paper 3 · Q1(d)

14. June 2023 · Paper 3 · Q2(d)

15. June 2023 · Paper 3 · Q2(e)

16. June 2022 · Paper 1 · Q8

17. June 2022 · Paper 3 · Q1(e)

18. November 2021 · Paper 1 · Q1(b)

19. November 2021 · Paper 1 · Q7

20. November 2021 · Paper 3 · Q1(c)

21. November 2021 · Paper 3 · Q1(e)

22. October 2020 · Paper 1 · Q6(c)

23. October 2020 · Paper 3 · Q2(e)

24. June 2019 · Paper 1 · Q7

25. June 2018 · Paper 1 · Q6(e)