CJC_H2_ECONS_P1

CATHOLIC JUNIOR COLLEGE JC2 Preliminary Examinations Higher 2 ECONOMICS 9757/01 Paper 1 20 Aug 2018 Additional Materials: Writing Paper 2 hour 15 min READ THESE INSTRUCTIONS FIRST Write your name, class and question number 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, graphs or rough working. Do not use highlighters, glue or correction fluid. Begin each section on a new sheet of paper. Answer ALL questions. At the end of the examination, fasten your work securely together. Submit each section separately. The number of marks is given in brackets [ ] at the end of each question or part question. This document consists of 7 printed pages and 1 blank page

2 Answer all questions Question 1 The Market for Meat Products in India Figure 1: Prices of various meat products in India from 2010 to 2016 Source: Statista, accessed 26 th June 2018 Extract 1: Here's what is in store for the meat industry in India India’s per-capita consumption of meat products stands at 4.4 kg per person, which puts it at the second position on the list of countries with the least meat consumption per-person. However, this distinction can be attributed to its 2000-year-old tradition of vegetarianism. And like all old cultures, this one is changing as well. The demand for meat products is expected to grow faster in India with sustained economic growth, strengthening urbanisation trends and increasing awareness of the nutritive value of meat and meat products. By 2020, the demand for milk is estimated to reach 143 million tonnes and that of meat and eggs eight million tonnes. This increase in demand called for capitalisation on the part of producers. This primarily occurred in the form of increased development of technology which hastened the processing of livestock based products. The increase in production has however picked on rather dismally. Livestock rearing serves as a much better alternative for millions to earn a livelihood. Hence, the government has introduced subsidies and exemption on excise duty for meat products to further the cause of employment. Source: World Economic Forum , December 2017, accessed 1 st July 2018

3 Table 1: Income elasticities of demand for various type of meat products in India Beef 0.327 Mutton 2.265 Chicken 1.165 Source: National Center for Agricultural Economics and Policy Research, accessed 27th June 2018 Extract 2: PETA asks government to tax meat, other animal derived foods In India, the consumption of beef, chicken, eggs, dairy and other animal derived foods is on a rapid rise. While vegetarian and vegan eating is also increasing between 2004 and 2014, the amount of meat, eggs or dairy foods consumed per person in India is the highest it has been in history and it is projected to grow further. People for the Ethical Treatmen