2025 VJC Paper 1

Victoria Junior College [Turn over VICTORIA JUNIOR COLLEGE JC2 PRELIMINARY EXAMINATION 2025 HIGHER 2 ECONOMICS 9570/01 Paper 1 15 September 2025 2 hours 30 minutes No Additional Materials are required. 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 all questions. The number of marks is given in brackets [ ] at the end of each question or part question. This document consists of 9 printed pages and 3 blank pages.

2 Victoria Junior College 9570/01/PE/25 Answer all questions. Question 1: Plastic and its waste Extract 1: Plastic production and pollution are growing relentlessly The world is producing twice as much plastic waste as two decades ago. Most plastic pollution comes from inadequate collection and disposal of larger plastic debris known as macroplastics, but leakage of microplastics that filter through the food chain or enter waterways from landfill and poor waste management are also a serious concern. An OECD report found that the COVID -19 crisis led to a 2.2% decrease in plastics use in 2020 as economic activity slowed. As economic activity resumed in 2021, plastics consumption has also rebounded. Additionally, most plastics in use today are virgin plastics, made from crude oil or gas. Source: Organisation for Economic Co-operation and Development, 22 February 2022 Figure 1: Producer Price Index of plastic bags*, 2020 – 2024 *The Producer Price Index of plastic bags measures the average change over time in the selling prices received by domestic producers for their plastic bags. Source: Federal Reserve Bank of St Louis Figure 2: Average annual Brent crude oil price, 2020 - 2024 Source: Statistica.com

3 Victoria Junior College 9570/01/PE/25 Extract 2: Trade in global plastic waste Every year, nations worldwide produce around 350 million metric tons of plastic waste. This is equivalent to over 10 million fully loaded garbage trucks. Most of this plastic waste is either incinerated or sent to landfills, thus eventually polluting our air, land, and oceans. Only a fraction of this waste is recycled, and 2% is traded internationally. Though most plastic waste is managed and recycled within countries, trade in plastic waste moves materials to countries with an advantage in managing or recycling plastic waste. Exporting spare waste helps exporting countries manage a part of their plastic emissions more cheaply and reduces pressure on local recycling facilities and landfills. Importing plastic waste, on the other hand, comes with certain financial benefits too. Repurposing recycled plastics into goods is a far cheaper option for industries that would otherwise rely on buying newly manufactured expensive plastics. Many countries also differ when it comes to their specific plastic recycling capabilities and needs, so while they might export some plastic waste, they also import others that are useful. Research has found that higher plastic waste imports have positively impacted the economic growth of many low -income countries. However, when countries export unusable and non -recyclable contaminated plastics, these same low -income nations may see the end -of-life ecosystem costs outweigh any financial benefits. Source: World Economic Forum, 15 March 2023 Extract 3: Malaysia is a global plastic waste management hub Since China banned solid waste imports in 2018, Malaysia has emerged as a global hub for plastic waste management, with Japan being the leading nation exporting plastic waste to Malaysia. However, Malaysia faces several major challenges for waste management. These include illicit waste management practices such as open burning and illegal dumping, a lack of enforcement and monitoring from authorities, as well as a lack of transparency and p ublic access to investigate regulatory compliance in importing plastic waste. Source: Aliran.com, 11 April 2024 Extract 4: Addressing the plastic waste problem in Singapore Come Nov 3, it will be exactly four months since major supermarkets in Singapore started charging customers at least S$0.05 for each disposable carrier bag they take. The move has seen some success, with supermarket operators giving out significantly fewer disposable carrier bags - some have reported reductions of 50% to 80% compared to last year. The proceeds from charging customers for disposable carrier bags will be used for social and environmental causes. In Singapore, many disposable carrier bags come in the shape of plastic bags.

4 Victoria Junior College 9570/01/PE/25 Over the decades, many jurisdictions have adopted various policies to reduce the consumption of plastic bags either through bans, fees on customers or taxes on stores that sell them. In this part of the region, Bangladesh in 2002 imposed a total ban on thi n plastic bags. Taiwan too introduced a policy to ban large-scale retailers from giving out free plastic bags. While charging for plastic bags is an effective short-term strategy to reduce consumption, questions arise over its long-term effectiveness as people become accustomed to it. Charging for plastic bags may also inadvertently lead to an increase in the use of alternative single-use bags. Shoppers might opt for these alternatives and buy bundles of single -use bags for garbage disposal, believing they are better value for their money. Environmentalists say that given Singaporeans' busy lifestyle and preference for convenience, getting people to consciously adopt green habits remains a work in progress. Despite its small size, experts say that Singapore can make meaningful contributions to global environmental sustainability by leveraging its strengths in innovation and technology -driven solutions. However, challenges exist, such as limited public awareness about the consequences of plastic use. Industries reliant on plastic packaging also struggle to find sustainable alternatives without compromising product safety and quality. Moreover, as the hawker culture is unique to Singapore and some other Southea st Asian countries, it would be challenging to look to different places like Europe and implement their policies here. Such policies include a ban on the most common single -use plastic items, such as cutlery, stirrers and straws. “If we banned plastics in Singapore, we would have a riot,” Mr Yasser Amin, who heads a non-profit organisation addressing waste management, said. Singapore’s plastic waste landscape is far from ideal - in 2022, only 6% of all plastic waste generated was recycled. This means that most plastics are incinerated, an activity that generates carbon dioxide emissions. Sources: Channel NewsAsia, 3 November 2023, Channel NewsAsia, 29 April 2024

5 Victoria Junior College 9570/01/PE/25 (a) Using a production possibility curve, explain how improper disposal of plastic affects a country’s productive capacity. [2] (b) With reference to Extract 1, Figure 1 and Figure 2: (i) Using a diagram, account for the change i