HCI H2 Prelim 2024 P1 QP

1 © Hwa Chong Institution 2024 9570/01/A/C2 Prelim 2024 HWA CHONG INSTITUTION C2 Preliminary Examinations Higher 2 CANDIDATE NAME CT GROUP 23 ECONOMICS Paper 1 Case Study Questions Additional Materials: Answer Booklet 9570/01 27 August 2024 2 hours 30 minutes READ THESE INSTRUCTIONS FIRST Read all instructions printed on the cover page of the 12-page answer booklet carefully. Write all your particulars clearly on the cover page of the 12-page answer booklet. Write in dark blue or black pen on both sides of the paper. You may use a soft HB pencil for any diagrams, graphs or rough working. Do not use staples, paper clips, highlighters, glue or correction fluid and tape. Answer ALL questions. Write all your answers in the 12-page booklet and subsequent 4-page booklets (if required). Do all your rough work in pen using the answer booklet and cross it through without making it illegible. Do not tear out any part of this booklet. Begin case study question 1 and question 2 on a new page within the answer booklet. All work must be handed in. If you have used any additional 4- page booklets, please insert them inside the 12–page answer booklet. The number of marks is given in brackets [ ] at the end of each question or part question. You may use a calculator. You are advised to spend several minutes reading through the questions before you begin writing your answers. You are reminded for the need for good English and clear presentation in your answers. This document consists of 7 printed pages and 1 blank page. [Turn over

2 © Hwa Chong Institution 2024 9570/01/A/C2 Prelim 2024 Answer all questions Question 1: Fast fashion and Food Figure 1: Comparison of global clothing sales volume and world GDP indices (Base year 2000=100) Source: Earth.Org Extract 1 Why Is Fast Fashion Bad? The term fast fashion refers to a large sector of the fashion industry whose business model relies on cheap and speedy production of low -quality clothing, which gets pumped quickly through stores in order to meet the latest and newest trends. The fast fashion business model involves rapid design, production, distribution, and marketing, allowing brands and retailers to pull large quantities of greater product variety and allow consumers to get more style and product differentiation at a low pri ce. Furthermore, manufacturers cut production costs even more by using synthetic and chemically treated materials rather than organic ones in order to lower prices and encourage more consumption. Fast fashion companies and retailers have no incentives to change the current business model when it’s proven to be so profitable so far. Globally, an estimated 92 million tonnes of textile waste is produced every year and that number is expected to soar up to 134 million tonnes a year by 2030. But textile waste is not the only environmental impact to come out from the fashion industry. Meeting the excessively high demand of clothing, especially t he production of synthetic fibres, requires huge amounts of energy. The fashion industry accounts for nearly up to 10% of global carbon emissions, which is more than both the aviation and shipping sectors combined, and nearly 20% of global wastewater, or around 93 billion cubic metres from textile dyeing, according to the UN Environment Programme. Much like the argument to switch to a plant-based diet to help reduce deforestation and carbon emissions, it is up to consumers to actively choose to avoid fast fashion brands, and to support more sustainable and socially conscious labels in order to alleviate the devastating environmental impacts of the industry. Source: Earth.Org [Turn over 100 110 120 130 140 150 160 170 180 190 200 Index Year Clothing Sales Volume World GDP

3 © Hwa Chong Institution 2024 9570/01/A/C2 Prelim 2024 Extract 2 Green washing Greenwashing presents a significant obstacle to tackling climate change. By misleading the public to believe that a company or other entity is doing more to protect the environment than it is, greenwashing promotes false solutions to the climate crisis that distract from and delay concrete and credible action. Greenwashing undermines credible efforts to reduce emissions and address the climate crisis. Through deceptive marketing and false claims of sustainability, greenwashing misleads consumers, investors, and the public, hampering the trust, ambition, and action needed to bring about global change and secure a sustainable planet. The boom in green claims reflects growing consumer attention: In one recent survey, 68 per cent of Americans said they would choose a more environmentally friendly product even if it cost more. That enthusiasm presents a big opportunity for advertisers, and a big challenge for regulators – who don’t always have mechanisms in place to push back on incomplete claims. Source: www.un.org, and The Straits Times, 27 September 2023 Extract 3 Why ultra processed food needs to be part of the inequalities agenda Ultra-processed foods (UPF) are things like packaged snacks, fizzy drinks, sugary cereals and ready meals containing food additives. These products often contain high levels of added sugar, processed fat, and/or salt, but are low in nutritional value, vitamins and fibre. It is reported that the daily calorie intake of adults in the UK is made up of 55 percent ultra processed food and drinks– which is higher than across the rest of Europe. What is even more concerning is that children consume even more UPF. A recent study o f the diets of over 9,000 UK children and young people aged 7 to 24 years old found that one in five were consuming over 78 per cent of their daily calories from ultra-processed food and drinks. A food desert has been defined as an urban area in which it is difficult to buy affordable or good quality fresh food. This links to health inequalities, people live in food deserts where there may be plenty of food available, but not much of it is healthy . UPF are offered at relatively low cost. While there may be a greater choice in supermarkets, the lower costs of UPF when compared with other healthier options may leave many low -income households with little choice than to consume large amounts of this type of food. The speed with which UPF can be prepared in the home may also lead many working parents to choose these options for mealtimes. There may also be a lack of understanding and information as to what type of foods are “healthy” given that items regularly consu med such as mass -produced bread, most breakfast cereals, many pre- packed pasta dishes, and flavoured yogurts are actually UPF. The food industry is the largest manufacturing sector in the country, employing 4 million people and generating around £121 billion annually.” This enables the food industry to exert a great influence on what we eat in the UK. The primary goal of the food industry is to make a profit rather than improve nutrition. In the US, a handful of powerful companies control the majority market share of almost 80% of dozens of grocery items bought regularly, new analysis reveals. For instance, 93% of the sodas in America are owned by just three companies. The same goes for 73% of the breakfast cereals – despite the shelves stacked with different boxes. [Turn over

4 © Hwa Chong Institution 2024 9570/01/A/C2 Prelim 2024 The size, power and profits of these mega companies have expanded thanks to weak regulation which enabled a wave of unchecked mergers and acquisitions. This matters because the size and influence of these mega-companies enables them to largely