This document consists of 12 printed pages.
© UCLES 2008
UNIVERSITY OF CAMBRIDGE INTERNATIONAL EXAMINATIONS
General Certificate of Education
Advanced Subsidiary Level and Advanced Level
Paper 1 Multiple Choice (Core)
Multiple Choice Answer Sheet
Soft clean eraser
Soft pencil (type B or HB is recommended)
READ THESE INSTRUCTIONS FIRST
Write in soft pencil.
Do not use staples, paper clips, highlighters, glue or correction fluid.
Write your name, Centre number and candidate number on the Answer Sheet in the spaces provided
unless this has been done for you.
There are thirty questions on this paper. Answer all questions. For each question there are four possible
answers A, B, C and D.
Choose the one you consider correct and record your choice in soft pencil on the separate Answer Sheet.
Read the instructions on the Answer Sheet very carefully.
Each correct answer will score one mark. A mark will not be deducted for a wrong answer.
Any rough working should be done in this booklet.
© UCLES 2008
A country’s production possibility curve moves from XX to YY as shown in the diagram.
What could have caused this movement?
A a rise in the retirement age
B an increase in investment
C an increase in net emigration
D a rise in technological progress
A Southern African government was concerned about the market influence of a large producer
and was keen to take control of the company.
What might be the possible result of this?
A an increase in the role of the market
B an increase in public ownership
C an increase in the role of the consumer
D an increase in the amount of competition
3 Which of the following is a normative statement?
If firms spend more on advertising, sales volume may not rise.
If firms raise prices, profits will rise.
C The govern