2 marksInternational Trade
CAPE Economics Unit 2 · 2018 · Paper 2 · Question 3(a)
State TWO reasons why nations trade.
The mark scheme is shown once you've answered.
Practise this questionOther parts of this question
- 3(b)(i)Outline ONE major component of the current account in the balance of payments (BOP).[2 marks]
- 3(b)(ii)Explain how the official reserves account is used in the balance of payments.[3 marks]
- 3(c)(i)Explain the effects of import tariffs on consumers from the importing country.[3 marks]
- 3(c)(ii)Explain the effects of import tariffs on producers from the importing country.[3 marks]
- 3(d)Analyse THREE consequences of balance of payments disequilibria.[12 marks]
More practice: the rest of this paper · more International Trade questions · all CAPE Economics Unit 2 past papers