EJC H2 Economics Prelim Exam Paper 2 2024

[Turn over EUNOIA JUNIOR COLLEGE JC2 Preliminary Examination 2024 General Certificate of Education Advanced Level Higher 2 ECONOMICS Paper 2 Essays 9570/02 13 September 2024 2 hours 30 minutes Additional Materials: Answer Booklet READ THESE INSTRUCTIONS FIRST 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 Section B. The number of marks is given in brackets [ ] at the end of each question or part question. Please note that Paper 2 takes up 60% of the total score. This document consists of 3 printed pages and 1 blank page.

2 9570/02 [Turn over Answer three questions in total. Section A One or two of your three chosen questions must be from this section. 1 (a) Explain how a profit-maximising firm sets its price and output decision s and why the firm might practise price discrimination. [10] (b) In the e-commerce market, firms like Amazon and Alibaba are facing growing competition due to increasing ease of setting up online shops. Discuss the impact of the growing competition on efficiency outcomes. [15] 2 Between 2009 and 2023, the price of dental services in Singapore had risen by 2.9% annually. Although subsidised dental services are available at polyclinics, private dental clinics remain a viable option due to shorter waiting time. (a) Explain why a fall in number of dentists and a rise in incomes of many households are each expected to cause a rise in expenditure on dental services. [10] (b) Discuss whether subsidy is likely to be the most effective way the Singapore government can make dental services remain affordable for all Singaporeans. [15] 3 Libraries provide access to information and foster community engagement. The Singapore National Library Board opened the new Punggol Regional Library in 2023 as well as introduced a mobile app that offers digitalised version of its resources. (a) Explain why library services are not considered a public good and the economic case for government intervention in this market. [10] (b) Discuss whether the construction of new libraries or digitalisat