SAJC_H1_ECON_P1_W_SUGGESTED_ANSWERS_AND_MARK_SCHEME

ST ANDREW’S JUNIOR COLLEGE PRELIMINARY EXAMINATIONS – 2011 General Certificate of Education Advanced Level Higher 1 ECONOMICS 8819/01 Paper 1 14 Sep 2011 3 hours Additional Materials: Answer Paper READ THESE INSTRUCTIONS FIRST Write your name and class 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 staples, paper clips, highlighters, glue or correction fluid. Section A Answer all questions. Section B Answer one question. At the end of the examination, fasten all your work securely together. The number of marks is given in brackets [ ] at the end of each question or part question. This document consists of 8 printed pages. [Turn Over © SAJC 2011 Suggested Answers and Mark Schemes

© SAJC 2011 8819/01/PRELIM Suggested Answers and Mark Schemes 2 Section A Answer all questions in this section. Question 1 New Formula and Glittery Growth for Singapore Extract 1: Singapore Tourism Revenue Surges on Record Visitor Arrivals The money spent by tourists visiting Singapore su rged last year after a record number of people travelled to the city-state, attracte d by two new casinos amid a rebound in the global economy. Spending rose 49 percent to S$18.8 billion last year, exceeding the government’s forecast, the Singapore Tourism Board said in a statement today. International visitor arrivals rose 20 percent to 11.6 million in 2010. Efforts to boost tourism in 2010 included th e inaugural Youth Olympic Games, while the Singapore leg of Formula One, the world’s most-watched motor sport, took place for a third year. Source: The Straits Times, 12 November 2010 Extract 2: Call for Tripling Casino Levy A lone MP on Monday caut ioned the Government against bei ng attracted by the glitter of revenue from casinos. Ms Denise Phua argued that an over-reliance on gaming revenue would hurt Singapore over time. Currently, while foreigners do not have to pay the S$100 levy before entering the casino, locals will have to do so at the booth. Before arriving at the booth, visitors to the casino will be segregated acco rding to whether they ar e Singaporeans or overseas guests. She called instead for the casino entry levy to be tripled, and for a cap on the number of integrated resorts (IRs) to the current two. 'All that glitters is not gol d,' she said, in a speech that warned about the 'dark side' of problem gambling and organised crime. The Government should instead take 'the more difficult journey of honing our own expertise in building quality tourism products'. Source: The Strait