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AGA KHAN UNIVERSITY EXAMINATION BOARD

SECONDARY SCHOOL CERTIFICATE

CLASS IX EXAMINATION

APRIL/ MAY 2017

Economics Paper II

AKU-EB May Examination 2017

Time: 2 hours 25 minutes Marks: 50

INSTRUCTIONS

Please read the following instructions carefully.

1. Check your name and school information. Sign if it is accurate.

I agree that this is my name and school.

Candidate's signature

2. RUBRIC. There are TEN questions. Answer ALL questions. Questions 9 & 10 each offers
TWO choices. Attempt any ONE choice from each.

3. When answering the questions:

Read each question carefully.

Use a black pointer to write your answers. DO NOT write your answers pencil.
Use a black pencil for diagrams. DO NOT use coloured pencils.
DO NOT use staples, paper clips, glue, correcting fluid or ink erasers
Complete your answer in the allocated space only. DO NOT write outside the answer box.

4. The marks for the questions are shown in brackets ( ).

5. You may use a simple calculator if you wish.

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Q.1. (Total 6 Marks)

a. Describe the concept of scarcity with reference to economics. (2 Marks)

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b. Explain the relationship between scarcity and opportunity cost with the help of an example.
(4 Marks)

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Q.2. (Total 4 Marks)

Micro and macro are two important branches of economics.

Mention TWO points EACH about what is studied under microeconomics and macroeconomics.

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PLEASE TURN OVER THE PAGE

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Q.3. (Total 4 Marks)

The following graphs represent the demand of three consumers at different prices.

P P P
20 20 20
15 15 15
10 10 10
5 5 5

AKU-EB May Examination 2017

0 0 0
3 6 9 12 15 Qd 5 10 15 20 25 Qd 10 15 20 25 30 Qd
Consumer 1 Consumer 2 Consumer 3
Where,
P = Price
Qd = Quantity demanded
Using the given individual demand curves, draw the market demand curve.

Space for graph

Q.4. (Total 4 Marks)

Differentiate between demand and supply with reference to the given table.

Demand Supply

Definition

Law

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Q.5. (Total 4 Marks)

Complete the table by categorising the given description of markets with reference to time, place,
commodities and competition.

Details Category of the Market

A market that deals with the sale and purchase
of perishable commodities like vegetables and
fruits; in this type of market, the small change
in price results in a big change in the quantity

AKU-EB May Examination 2017

demanded.

A market in which there are many buyers and

sellers, selling a homogeneous product; here
buyers and sellers have complete information
about the market.

A market that is confined to the geographical

boundary of a country and supplies goods
throughout the country whenever they are
demanded.

A market that deals with long term monetary

assets, treasury, securities, bonds, shares and
debentures.

PLEASE TURN OVER THE PAGE

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Q.6. (Total 5 Marks)

a. Ms Anabia is a qualified Chartered Accountant. She is working in a company situated in Karachi

as Manager Internal Audit but she is planning to change her job. Currently, she has TWO
opportunities. Identify the type of mobility in both the cases mentioned in the table. (2 Marks)

Option Details Type of Labour Mobility

A position as a Manager Tax and Finance in
A a multinational company having its head
office in Karachi.

B
AKU-EB May Examination 2017
A position as a Manager Internal Audit in
Saudi Arabia.

b.

i. Explain the concept of labour mobility. (1 Mark)

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ii. Explain the types of labour mobility identified in part (a). (2 Marks)

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Q.7. (Total 4 Marks)

Describe any TWO psychological impacts of unemployment on society in general.

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Q.8. (Total 4 Marks)

i. Define the term ‘poverty’ in the context of economics. (1 Mark)

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ii. Suggest THREE ways to overcome poverty in Pakistan. (3 Marks)

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Q.9. (Total 7 Marks)

EITHER

a. During the past two centuries, it has been observed that many countries have shifted to an
economic system which protects private property and allows a level of economic freedom in the
use of capital but, at the same time, allows the government to interfere in the economic activities
of the society.

i. Identify the economic system mentioned above.

ii. AKU-EB May Examination 2017

Explain any TWO merits and ONE demerit of the economic system identified above.

OR

b. Explain the concepts of marginal and total utility and how these concepts are interconnected. Use
hypothetical data and graphs to support your explanation.

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Q.10. (Total 8 Marks)

EITHER

a. As Country X is growing at a rate of more than 8 percent in GDP, at one end it is creating a lot of
economic opportunities but, at the same time, it is contributing towards stress on the environment.

Discuss any FOUR negative impacts of economic growth on the environment of Country X.

OR

b.

AKU-EB May Examination 2017 Land

Entrepreneur Labour

Production

Capital

Production is a cooperative process and not the job of any single factor.

Elaborate any FOUR features of any TWO factors of production (FoP) in an economy.

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AKU-EB May Examination 2017

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