Loading subjects
24 exam-style questions with model answers, plus 36 quick multi-choice questions — every question on the site for this standard, grouped by the 8 pages of notes they come from.
Write a full answer before you reveal the model one — that comparison is where the marks come from. Every block links back to the notes that teach it.
Define GDP and explain how the economic growth rate is calculated from it.
Explain in detail the difference between a fall in real GDP and a fall in productive capacity, using an example of each.
After a major natural disaster, New Zealand's measured real GDP rises sharply during the rebuild.
Discuss whether this rise in real GDP means New Zealanders are better off. Compare and contrast what real GDP, productive capacity and net social welfare each show, and give a reasoned judgement.
Explain why using real GDP to measure economic growth is better than using nominal GDP.
Explain in detail two reasons why an increase in real GDP is better for the New Zealand economy than an equal increase in nominal GDP.
Over a decade, New Zealand's real GDP grows steadily, but many New Zealanders report that they do not feel better off.
Discuss how this is possible. Compare and contrast the usefulness of real GDP and net social welfare as measures of economic growth, and give a reasoned judgement about which New Zealand should pay more attention to.
On a PPF with capital goods on one axis and consumer goods on the other, explain what a point inside the curve represents, and what would cause the whole curve to shift outward.
A government increases taxes to fund spending on infrastructure. On a PPF with consumer goods on the vertical axis and capital/infrastructure goods on the horizontal axis, this moves the economy from point A to point B.
Explain in detail why there is an opportunity cost of this decision, and explain the effect on the economy's future PPF.
Graph Two shows an economy moving from a point on its PPF to a point inside it. Graph Three shows an economy's PPF shifting inward.
Compare and contrast the causes and effects of these two decreases in economic growth, and explain which would be worse for New Zealand's long-term economic growth.
Identify three injections into the circular flow model and three leakages out of it, and explain what an injection does to economic growth.
A large increase in overseas tourists visiting a New Zealand region occurs.
Explain in detail why this might increase economic growth more than an equivalent increase in domestic tourists. Refer to the circular flow model in your answer.
A successful new export industry is established in a New Zealand region.
Discuss the impact of this on the government's operating balance (revenue minus expenditure), referring to the circular flow model. Compare and contrast the effects on government revenue and government expenditure, and give a reasoned judgement.
State the aggregate demand formula, and explain which curve shifts and in which direction if the New Zealand government significantly increases infrastructure spending.
A graph shows the AS curve shifting right and the AD curve shifting right, following the construction and opening of a major new venue in a New Zealand city.
Explain in detail each shift and the impact on economic growth. Refer to the AS/AD model in your answer.
A trial of a new agricultural industry in a New Zealand region is successful and the industry is established at scale.
Explain why economic growth would increase, referring to at least two flows on the circular flow model and to the AS/AD model. Then discuss the impact on the government's operating balance, giving a reasoned judgement.
Explain the impact of an increase in economic growth on government revenue and on government expenditure.
Explain in detail how economic growth concentrated in one New Zealand region affects regional growth rates and the distribution of income within that region.
A large new development brings substantial economic growth to a New Zealand town.
Compare and contrast the advantages and disadvantages of this growth for (i) working families living in the town and (ii) the local and central government. Give a reasoned judgement about whether the town's residents are made better off.
Explain one way in which economic growth can damage the New Zealand environment, and one way in which economic growth can help it.
Explain in detail why environmental damage caused by economic growth should be regarded as an economic problem for New Zealand, not only an environmental one. Refer to the production possibility frontier in your answer.
A new industry would raise New Zealand's economic growth substantially but would increase greenhouse gas emissions and pressure on water resources.
Compare and contrast the impact on economic growth and on the environment, and give a reasoned judgement about whether the industry should be permitted.