Exam
Section
Section I
Part A
Multiple
Choice
Section II
Section III
2011 YEAR 12 MID-YEAR EXAMINATION
ECONOMICS – MAPPING GRID
Question Marks Syllabus/Course
Outcomes
12
13
14
15
16
8
9
10
11
1
2
3
4
5
6
7
17
18
19
20
21 a
21 b
21 c
22 a
22 b
22 c
22 d
23 a
23 b
23 c
24
25
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
2
4
4
2
4
2
2
1
1
1
1
2
3
5
20
20
H1, H2
H1, H4
H3, H4
H4, H5, H7
H1, H11
H1, H6, H4
H1, H4, H6
H1, H3, H4
H1
H1, H4
H1, H7
H1, H8, H11
H2, H4
H1
H4
H1, H4, H7
H1, H3
H3, H4
H1, H3
H2, H4, H7
H1
H3, H7
H6, H7
H1
H3, H7
H1, H4
H3, H7
H1, H4, H3
H1, H5, H7
H1, H2, H7
H2, H3, H4, H6,
H7, H8, H10,
H11
H2, H3, H4, H6,
H7, H8, H10
2-3
2-3
3-4
5-6
2-3
3-4
4-5
2-3
3-4
5-6
4-5
2-3
4-5
4-5
3-4
Targeted
Performance
Bands
3-4
3-4
3-4
4-5
4-5
3-4
4-5
3-4
2-3
3-4
4-5
4-5
4-5
2-3
4-5
3-4
Answer
C
D
C
A
A
C
D
C
B
B
B
D
B
A
B
C
A
B
D
B
3-4
DISCLAIMER
Every effort has been made to prepare this Examination in accordance with the Board of Studies documents. No guarantee or warranty is made or implied that the Examination paper mirrors in every respect the actual HSC Examination question paper in this course. This paper does not constitute
‘advice’ nor can it be construed as an authoritative interpretation of Board of Studies intentions. No liability for any reliance, use or purpose related to this paper is taken. Advice on HSC examination issues is only to be obtained from the NSW Board of Studies. The publisher does not accept any responsibility for accuracy of papers which have been modified.
MYECO11_GUIDELINES Page 1

8
9
10
11
12
4
5
6
7
17
18
19
20
13
14
15
16
2011 YEAR 12 MID-YEAR EXAMINATION
ECONOMICS
– MARKING GUIDELINES
Section I
Part A – 20 marks
Questions 1-20 (1 mark each)
Question Correct Response Outcomes Assessed
1
2
3
A
B
C
H1, H2
H1, H4
H3, H4
Targeted
Performance Bands
3-4
3-4
3-4
C
D
C
B
C
A
B
D
B
B
B
D
B
D
C
A
A
H4, H5, H7
H1, H11
H1, H6
H1, H4
H1, H3, H4
H1
H1, H4
H1, H7
H1, H8, H11
H2, H4
H1
H4
H1, H4, H7
H1, H3
H3, H4
H1, H3
H2, H4, H7
4-5
4-5
3-4
4-5
3-4
2-3
3-4
4-5
4-5
4-5
2-3
4-5
3-4
2-3
2-3
3-4
5-6
MYECO11_GUIDELINES 2

Section II – 30 marks
Question 21 (10 marks)
21 (a) (2 marks)
Outcomes Assessed: H1
Targeted Performance Bands: 2-3
Criteria

Defines an exchange rate as the price of one currency in terms of another

Refers to the price/value of a currency
21 (b) (4 marks)
Outcomes Assessed: H3, H7
Targeted Performance Bands: 3-4
Criteria

Explains TWO relevant factors that could cause an increase in demand for the
Australian dollar

Explains ONE relevant factor that could cause an increase in demand for the
Australian dollar
AND

Identifies ONE relevant factor that could cause an increase in demand for the
Australian dollar

Explains ONE relevant factor that could cause an increase in demand for the
Australian dollar
OR

Identifies TWO relevant factors that could cause an increase in demand for the
Australian dollar

Identifies ONE relevant factor that could cause an increase in demand for the
Australian dollar
Relevant factors can include:
- increase in demand for exports
- increase in inbound tourism
- increase in capital inflows
- increase in foreign direct investment inflows
- increase confidence in Australian economy
- increase speculation in the AUD
Marks
2
1
Marks
4
3
2
1
MYECO11_GUIDELINES 3

21 (c) (4 marks)
Outcomes Assessed: H6, H7
Targeted Performance Bands: 4-5
Criteria

Demonstrates the impact of an appreciation in the AUD on TWO or more features of Australia’s external stability

Demonstrates the impact of an appreciation in the AUD on ONE feature of
Australia’s external stability
AND

Identifies or sketches in general terms ONE impact of an appreciation in the
AUD on ONE feature of Australia’s external stability

Identifies or sketches in general terms impacts of an appreciation in the AUD on Australia’s external stability

Identifies a relevant impacts of an appreciation in the AUD on Australia’s external stability
Relevant impacts can include:
- revaluation effect on the value of foreign debt
- changes to capital flows
- changes to trade flows (imports and/or exports)
- changes in the terms of trade
- changes to the current account deficit (or a component of the current account)
- changes in the servicing costs of foreign liabilities
Question 22 (10 marks)
22 (a) (2 marks)
Marks
4
3
2
1
Outcomes Assessed: H1
Targeted Performance Bands: 2-3
Criteria

Accurately describes the trend in the trade balance, with reference to both the aggregate change and the components of the balance of goods and services

Identifies that the trade balance has worsened over time
Marks
Sample answer
The trade balance has deteriorated between March and May, increasing from a $1.6bill deficit to a $4bill deficit. This can be seen by the progressive increase in import spending
2
1 over time.
MYECO11_GUIDELINES 4

22 (b) (4 marks)
Outcomes Assessed: H3, H7
Targeted Performance Bands: 3-4
Criteria

Explains TWO relevant factors that could cause an increase in import spending
Explains ONE relevant factor that could cause an increase in import spending
AND

Identifies ONE relevant factor that could cause an increase in import spending

Explains ONE relevant factor that could cause an increase in import spending
OR

Identifies TWO relevant factors that could cause an increase in import spending

Identifies ONE relevant factor that could cause an increase in import spending
Relevant factors can include:
- increased domestic growth
- falling domestic unemployment
- falling domestic interest rates
- falling tariffs
- increased international competitiveness of trading partners
- depreciation of the currency
- increased incomes/wage levels
22 (c) (2 marks)
Outcomes Assessed: H1, H4
Targeted Performance Bands: 5-6
Criteria

Accurately describes the cyclical components as those influenced by changing levels of economic growth (exports/imports/BOGS) and structural components as those determined by the behaviours of economic participants (income flows)

Accurately identifies cyclical and structural components

OR

Accurately describes either cyclical or structural components
22 (d) (2 marks)
Outcomes Assessed: H3, H7
Targeted Performance Bands: 4-5
Criteria

Explains ONE relevant impact of the current account on one area of economic performance

Identifies ONE relevant impact of the current account on one area of economic performance
Impacts can include:
- loss of faith by international investors
- increased interest premiums on foreign debt
- depreciation of the currency
- constraint on future economic growth
- debt trap scenario
Marks
4
3
2
1
Marks
2
1
Marks
2
1
MYECO11_GUIDELINES 5

Question 23 (10 marks)
23 (a) (2 marks)
Outcomes Assessed: H1, H3, H4
Targeted Performance Bands: 2-3

Outlines TWO relevant indicators
Criteria

Outlines ONE relevant indicator
Indicators can include:
- increased trade flows
- increased investment flows (FDI or portfolio)
- development of global organisations
- migration
- trade on currency markets
- international business cycle
23 (b) (3 marks)
Outcomes Assessed: H1, H5, H7
Targeted Performance Bands: 4-5
Criteria

Identifies ONE relevant international organisation and provides a detailed demonstration as to how its actions influence the global economy

Identifies ONE relevant international organisation and outlines its role in general terms

Identifies ONE relevant international organisation
Relevant organisations can include:
- WTO
- IMF
- World Bank
- OECD
- G7/8
- G20
- UN
Marks
2
1
Marks
3
2
1
MYECO11_GUIDELINES 6

23 (c) (5 marks)
Outcomes Assessed: H1, H5, H7
Targeted Performance Bands: 3-4
Criteria

Provides a detailed and comprehensive explanation of the link between the operations of transnational companies and the impacts of those operations on nations, with reference different types of economies

Identifies the impacts in terms of both cost benefit and long/short term

Provides a detailed and comprehensive explanation of the link between the operations of transnational companies and the impacts of those operations on nations, with reference different types of economies

Describes or sketches in general the link between the operations of transnational companies and the impacts of those operations on nations, with possible reference to different types of economies

Describes or sketches in general the activities of transnational companies and a possible impact of those operations on a nation

Identifies that a relationship exists between transnational companies and economic development
Marks
5
4
3
2
1
MYECO11_GUIDELINES 7

Section III – 20 marks
Question 24 (20 marks)
Outcomes Assessed: H2, H3, H4, H6, H7, H8, H10, H11
Targeted Performance Bands: 3-4
Mark Range Criteria
17-20

Integrates an extensive and appropriate range of economic terms with relevant concepts, relationships, theories and use of economic data

Demonstrates superior economic analysis in a sustained, logical and well structured response

Provides a clear, comprehensive and balanced understanding of the rationale for reductions in protection and the impact of this policy on
13-16
9-12
5-8
1-4 indicators of domestic economic performance

Integrates an appropriate range of economic terms, relevant concepts, relationships, theory and use of economic data

Demonstrates sound economic analysis in a logical and well structured response

Provides a sound understanding of the rationale for reductions in protection and the impact of this policy on indicators of domestic economic performance

Applies appropriate economic terms, concepts and relationships

Develops a coherent response

Describes in general terms the process of reducing protection and its influence on economic performance

Uses some appropriate economic terms, concepts and relationships

Develops a generalised response

Sketches in general terms the nature of a reduction in protection policy and its influence on economic performance

Presents a limited response

Uses some economic terms and/or concepts that relate to reducing protection
MYECO11_GUIDELINES 8

Question 25 (20 marks)
Outcomes Assessed: H2, H3, H4, H6, H7, H8, H10
Targeted Performance Bands: 3-4
Mark Range Criteria
17-20

Integrates an extensive and appropriate range of economic terms with relevant concepts, relationships, theories and use of economic data

Demonstrates superior economic analysis in a sustained, logical and well structured response

Provides a clear, comprehensive and balanced understanding of the
13-16
9-12
5-8
1-4 policies used by an economy other than Australia and their impacts on economic growth, development and global interactions

Integrates an appropriate range of economic terms, relevant concepts, relationships, theory and use of economic data

Demonstrates sound economic analysis in a logical and well structured response

Provides a sound understanding of the policies used by an economy other than Australia and their impacts on economic growth, development and global interactions

Applies appropriate economic terms, concepts and relationships

Develops a coherent response

Describes in general terms the policies used by an economy other than
Australia and their impacts on economic growth, and/or development and/or their global interactions

Uses some appropriate economic terms, concepts and relationships

Develops a generalised response

Sketches in general terms the policies of an economy other than Australia and their impacts.

Presents a limited response

Uses some economic terms and/or concepts that relate to the economic development and/or an economy other than Australia
MYECO11_GUIDELINES 9