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© UCLES 2018 9708/23/O/N/18

(b) Discuss whether an indirect tax on foreign holidays is likely to be effective in reducing the
number of holidays taken. [12]
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4 (a) Explain, with the aid of a diagram, one demand factor and one supply factor that can cause
the depreciation
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of disclosure of answer-related exchange
information rate.all copyright acknowledgements are reproduced online in the Cambridge
to candidates, [8]
Assessment International Education Copyright Acknowledgements Booklet. This is produced for each series of examinations and is freely available to download
at www.cambridgeinternational.org after the live examination series.
(b) Discuss whether an appreciation of a country’s foreign exchange rate is likely to cause both
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a rise in inflation and a decrease in employment in its economy.
Cambridge Local Examinations Syndicate (UCLES), which itself is a department of the University of Cambridge.
[12]
© UCLES 2019 9708/22/F/M/19

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reasonable effort has been made by the publisher (UCLES) to trace copyright holders, but if any items requiring clearance have unwittingly been included, the
publisher will be pleased to make amends at the earliest possible opportunity.

To avoid the issue of disclosure of answer-related information to candidates, all copyright acknowledgements are reproduced online in the Cambridge
Permission to reproduce items where third-party owned material protected by copyright is included has been sought and cleared where possible. Every