THUNGRY FOR SUCCESS REVISION SERIES THE TROTTER 0774998145

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UNEMPLOYMENT & INFLATION ~HUNGRY

FOR SUCCESS ~ FINAL ECONOMICS ESSAYS REVISION
SERIES
BY PROF T HWATI THE TROTTER
0774998145

Temba Hwatirera
GLOBETROTTER HIGH SCHOOL HARARE CBD CENTRE
Message from the professor: We don’t sleep when we’re tired we sleep when we’re done.

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UNEMPLOYMENT & INFLATION REVISION

J2020 P3 QUESTIONN 7 & 10
8. a) Analyse the causes of inflation in an economy. [10]
b) Discuss why government should be concerned about a high level of inflation in an
economy. [15]
10. Assess the causes and solutions to unemployment in your country. [25]
N2019 P3 QUESTION 9
9. Evaluate the effectiveness of policies that may be used by the government of your country to
solve deflation. [25]
J2019 P3 QUESTION 9 & 10
9. a) Explain the effects of inflation to the following sectors of the economy:
i. government
ii. firms
iii. households [12]
b) Discuss the effectiveness of monetary policy in solving inflation in your country.
[13]
10. a) Explain the relationship between rapid economic growth and high inflation in your
country. [10]
b) Assess the policies your government can employ to stimulate economic growth.
[15]
N2018 P3 QUESTION 9 & 11

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9. a) Distinguish between monetary policy and fiscal policy. [12]

b) Discuss the effectiveness of fiscal policy to solve the problems of unemployment in
Zimbabwe. [13]
11. a) Explain the difficulties of measuring inflation using the consumer price index (CPI)
[10]
b) Discuss the effects of inflation to an economy [15]
J2018 P3 QUESTION 10
10. a) Explain the consequences of a high rate of inflation to a country [10]
b) Evaluate the effectiveness of fiscal and monetary policy in reducing inflation in a country.
[15]
N2017 P3 QUESTION 10 &11
10. a) Explain how inflation affects the four functions of money. [10]
b) Discuss how authorities could reduce inflation in your country [15]
11. a) What are the problems encountered in measuring unemployment in your country
[12]
b) The Keynesian approach to unemployment is higher public spending. Discuss the possible
solutions to the unemployment in your country. [13]
J2017 P3 QUESTION 10 &12
10. a) Analyze the problems encountered when constructing the consumer price index (CPI)
[12]
b) Discuss the consequences of inflation in an economy [13]
12. a) Analyze the causes of unemployment. [10]
b) Discuss the effectiveness of measures which can be used to reduce unemployment in your
country. [15]
N2016 P3 QUESTION

J2016 P3 QUESTION

N2015 P3 QUESTION

J2015 P3 QUESTION

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N2014 P3 QUESTION

J2014 P3 QUESTION

N2013 P3 QUESTION

J2013 P3 QUESTION 6 & 11

6. a) Explain the relationship between the level of employment and
i. marginal propensity to consume,
ii. the market rate of interest [12]
b) Discuss the effectiveness of demand side policies in reducing unemployment in your
country. [13]
11. a) Explain how the following changes influence money supply in an economy:
i. an increase in deficit financing
ii. a decrease in credit creation by commercial banks. [13]
b) Discuss the effectiveness of monetary policy instruments in reducing high rate of inflation
in your country. [13]
N2012 P3 QUESTION 10, 11 & 12
10. a) Explain
i. demand-pull inflation
ii. cost-push inflation [12]
b) Comment on the effectiveness of price controls and fiscal policy to counter a high rate of
inflation in your country. [13]
11. a) Explain why the government of your country should be worried by a high rate of
unemployment. [10]
b) Discuss the effectiveness of possible solutions to unemployment in your country.
[15]
12. a) Analyze the relationship between inflation and each of the following
i. the external value of money
ii. balance of payments
iii. unemployment [12]
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b). Should the high rate of inflation be worry to the government of your country?
[13]
J2012 P3 QUESTION 11
11. a) Explain why governments should be worried by a high rate of inflation [10]
b) Discuss the effectiveness of demand side policies to cure a high rate of inflation in your
country [15]
N2011 P3 QUESTION

J2011 P3 QUESTION 11
11. a) Analyze the consequences of high inflation in an economy [10]
b) Discuss the effectiveness of monetary policy in reducing inflation in your economy .
[15]
N2010 P3 QUESTION 9 & 11
9. a) How does inflation affect the four functions of money? [10]
b) Comment on the measures that monetary authorities could take to control inflation in your
country. [15]
11. a) Explain the types of unemployment existing in your country. [10]
b) Discuss how the unemployment in your country could be solved. [15]
J2010 P3 QUESTION 9 & 10
9. a) Explain why a rise in money supply causes an increase in national income. [10]
b) Why might the government of your country seek to control the rate of growth of money
supply? [15]
10. a) Explain the effects inflation has on money’s ability to perform its functions. [12]
b) How effective is the role played by the central bank in the economic development of your
country [13]
N2009 P3 QUESTION 12
12. a) Why is inflation often viewed as an enemy of the state? [10]
b) Discuss the effectiveness of policies aimed at reducing inflation in your country.
[15]
J2009 P3 QUESTION 10 & 12
10. a) Interest rates in Zimbabwe further increased in the month of March 2006 due to high
inflation in the economy. Explain the effect of interest rates in the economy [12]
b) Discuss how interest rate can be used to solve inflation in an economy. [13]
12. a) Analyze the difficulties of measuring unemployment. [10]

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b) Assess the effect of unemployment in an economy. [15]

N2008 P3 QUESTION 10
10. a) Explain what is meant by full employment and natural rate of unemployment
[10]
b) Evaluate the policies that government could adopt to reduce unemployment in your
country [15]

N2003 P3 QUESTION 11
11. a) Explain how
i. a budget deficit
ii. exchange rate depreciation
affect the rate of inflation in a country? [12]
b) Is a rise in inflation of economic significance to a country? [13]
N2001 P3 QUESTION 7 & 10
7. Keynes’s solution to unemployment was higher public spending which through the multiplier
process would generate income and more jobs.
a) Explain how this solution works. [12]
b) Are there any other solutions to the problem of unemployment? [13]
10. a) Explain what causes inflation [10]
b) Discuss whether a low rate of inflation should be the economic priority of the government.
[15]

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