ACJC 2026 H2 Prelim Paper 1 QP

ANGLO-CHINESE JUNIOR COLLEGE 2026 JC2 PRELIMINARY EXAMINATIONS ECONOMICS 9570/01 Higher 2 Paper 1 26 August 2026 2 hours 30 minutes Additional materials: Writing papers 2 cover sheets READ THESE INSTRUCTIONS FIRST Write your exam index number and name on all the answers you hand in. Write in dark blue or black ink pen on both sides of the paper. You may use a soft pencil for any diagrams, graphs or rough working. Do not use staples, paper clips, highlighters, glue or correction fluid / tape in your answers. Answer all questions. Begin Question 2 on a fresh sheet of writing paper. At the end of the examination, arrange your answers in order. Fasten your answers for Question 1 and Question 2 separately using the cover sheets provided. The number of marks is given in brackets [ ] at the end of each question or part question. This document consists of 9 printed pages (including this page). Please check that your question paper is complete.

2 ©ACJC 2026 Preliminary Exam 9570/01 Answer all questions Question 1: The Economics of Live Entertainment Event Market Extract 1: Singapore’s pursuit of mega concerts Singapore has sought to strengthen its position as a regional hub for major live entertainment events. Singapore’s continued investment in its transport system, infrastructure and expertise in management of crowd make it a preferred destination for concer ts and events. In recent years, global acts such as Blackpink, Coldplay, Ed Sheeran and Taylor Swift have performed sold -out shows in Singapore. Taylor Swift’s Eras Tour attracted particular attention because Singapore was the only Southeast Asian stop. The Singapore Tourism Board confirmed that the event was supported through a grant, estimated to be close to S$2.6 million to S$3.8 million but the exact terms were not fully disclosed. More than 300,000 tickets were sold for the six Singapore shows. Analysts estimated that about seven in ten concertgoers were from overseas. Overseas concertgoers were expected to spend on hotels, food, transport, shopping and entertainment. One economist estimated that such spending could amount to S$350 million to S$500 million. Travel and accommodation businesses also reported strong demand during the concert period. Supporters of the grant argued that the concerts helped raise tourist spending and reinforced Singapore’s reputation as a destination for world-class events which could bring about benefits for future tourism, business events and related sectors. However, such support has also invited criticisms. Public funds used to attract mega concerts could have been used for other purposes, such as public transport, healthcare, education or environmental protection. At the same time, it can place additional pressure on transport networks, public spaces and the environment. Around the venues where such mega concerts are held, large crowds may also contribute to congestion, noise and litter. Source: Adapted from Channel NewsAsia, 1 March 2024 and Reuters, 2 March 2024 Extract 2: When official tickets disappear Tickets for major concerts are usually released in stages, such as presales, general sales and special packages. For highly popular concerts, the number of tickets available is limited by venue capacity and the number of show dates. Demand for Taylor Swift’s The Eras Tour in Singapore was unprecedented, with a virtual queue of over 22 million people attempting to secure tickets for the six shows at the National Stadium. Presale tickets sold out in about three hours, while general sale tickets sold out in about eight hours. The unprecedented demand for ti ckets created opportunities for resale. Although the official price of a Singapore VIP ticket was reported at S$1,228, some resale listings on unofficial platforms later appeared at up to S$16,000. Similar patterns were seen overseas, with official general admission tickets for Taylor Swift’s London shows costing about £110 (S$190), while some resale listings ranged from £400 (S$692) to more than £3,000 (S$5,200).

3 ©ACJC 2026 Preliminary Exam 9570/01 Some fans who failed to obtain tickets through official platforms were willing to pay much higher prices on resale platforms, especially if they saw the concert as a rare opportunity to enjoy a world-class concert. This allowed resellers, commonly known as scalpers, to buy tickets with the intention of selling them later for profit. While resale through unauthorised platforms, including online marketplaces such as Carousell, may not necessarily be illegal, tickets are frequently listed at prices well above their official price. As a result, the resale market may resemble a black market, as buyers often have less protection and face a greater risk of fraud or invalid tickets. The long queues, limited ticket availability and short purchase windows may have placed fans under pressure to make quick decisions. Fans who had already spent hours queuing, or had made travel and accommodation plans, may have been reluctant to give up on attending, even when ticket prices rose sharply. Source: Adapted from The Guardian, 7 February 2024 and Reuters, 20 February 2024 Table 1: Market share of ticketing platforms in the United States (by gross revenue) Ticketing Platform Market share (%) Ticketmaster 83.4 AXS 9.3 Paciolan 2.1 SeatGeek 0.8 Others 4.4 Source: American Economic Liberties Project, accessed July 2026 Extract 3: Ticketing services for major live entertainment events in the United States For major concerts, the venue organiser usually works with a ticketing platform to sell tickets when they are first released. Concertgoers have to use the platform selected for that event by the venue organiser, even if they have used a different platform for other concerts. In the United States, Ticketmaster is the largest provider of primary ticketing services for major concerts and is several times larger than its closest competitors. Other platforms, such as AXS, Paciolan and SeatGeek, operate in the wider ticketing market, but are more commonly associated with smaller events or particular venues . Unlike Ticketmaster, they may find it difficult to secure contracts for high-demand concerts held at major venues. Running a large ticketing platform requires substantial upfront spending before any tickets are sold. Platforms need to develop and maintain secure payment systems, online queue - management tools, fraud detection software, and technology capable of handling very high volumes of purchases within a short period. Once ticket sales begin, the platform also incurs additional costs. These may include payment -processing charges, customer enquiries, refunds, and support for venue-entry verification.

4 ©ACJC 2026 Preliminary Exam 9570/01 The choice of ticketing platform by venue organisers affects more than ticket prices. It also shapes concertgoers’ buying experience, including the time spent in online queues, the reliability of secure payment processing, and the clarity of information about the final price before purchase. During highly popular ticket sales, a reliable platform may reduce failed transactions, delays and the risk of fraud. However, if there are no realistic alternative platforms for a particular concert, concertgoers may have little ability to avoid high fees, unclear pricing or poor service. Concerns have been raised about agreements between ticketing platforms and venue organisers. The United States Department of Justice alleged that Ticketmaster used long -term exclusive agreements that prevented some venue organisers from using rival platfor ms or switching to alternative providers. A venue organiser may be reluctant to change platform if it fears losing access to popular tours, established technology or a large pool of potential buyers. Smaller ticketing fi