SAJC 2023_JC2 H2_Econs_Prelims_P2 QP_MS-XC

This document consists of 3 printed pages. © SAJC 2023 ST ANDREWS JUNIOR COLLEGE Economics Department [Turn Over 9570/02/Sept/23 ECONOMICS 9570/02 Paper 2 12 September 2023 2 hours 30 minutes READ THESE INSTRUCTIONS FIRST Write your name on all the work you hand in. Write in dark blue or black pen on both sides of the paper. You may use a soft pencil for any diagrams or graphs. Do not use staples, paper clips, highlighters, glue or correction fluid. DO NOT WRITE IN ANY OF THE MARGINS. An answer booklet will be provided with this question paper. You should follow the instructions on the front cover of the answer booklet. If you need additional answer paper, ask the invigilator for a continuation booklet. Answer three questions in total, of which one must be from Section A, one from Section B and one from either Section A or B. The number of marks is given in brackets [ ] at the end of each question or part question. St Andrew’s Junior College JC2 Preliminary Examinations for General Certificate of Education Advanced Level Higher 2

2 © SAJC 2023 9570/02/Sept/23 Answer three questions in total. Section A One or two of your three chosen questions must be from this section. 1 Ticket scalpers – who snap up tickets, often in bulk, then resell them for profit on the secondary market – are back in business since large events and international acts resumed after the pandemic. Fans of Blackpink and Coldplay to, most recently, Taylor Swift, have been forced to buy tickets from scalpers as tickets for their concerts were sold out quickly. These are usually sold at a very high markup, with these resellers often citing the "hassle" and "stress of queuing up" as reasons for the price increase. (a) Explain the role of the price mechanism in ensuring an efficient allocation of resources. [10] (b) Discuss possible strategies that concert organisers could use to improve the market outcome for this type of concert for producers and consumers. [15] 2 Netflix announced price cuts in its subscription plans in some countries as the video streaming giant looks to maintain subscriber growth amid stiff competition and strained consumer spending. Source: Adapted from www.channelnewsasia.com 24 Feb 2023 (a) Explain two alternative objectives that a firm may pursue other than profit maximisation. [10] (b) Discuss whether the use of pricing strategy is the best way for a firm like Netflix to increase their profits. [15] 3 Singapore's national healthcare expenditure is expected to be about S$22 billion a year. However, this is expected to nearly triple to S$60 billion in 2