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2.6 The international economy (A-level only)

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Question 33

The table below shows the effective exchange rate index for Country Z in 2021 and 2023.

YearEffective exchange rate index
202180
2023100

All other things being equal, which one of the following options provides both the correct percentage change in the index from 2021 to 2023 and a valid reason why this change may have occurred?

A

20%20\%20% change; reason: A decrease in interest rates in Country Z

B

20%20\%20% change; reason: An increase in interest rates in Country Z

C

25%25\%25% change; reason: A decrease in interest rates in Country Z

D

25%25\%25% change; reason: An increase in interest rates in Country Z

Markscheme

2.6 The international economy (A-level only) Questions

  1. A Level
  2. /Economics
  3. /2.6 The international economy (A-level only)

310 exam-style questions on AQA A Level Economics 2.6 The international economy (A-level only), covering 2.6.1 Globalisation, 2.6.2 Trade, 2.6.3 The balance of payments, 2.6.4 Exchange rate systems, and 2.6.5 Economic growth and development. Each one has a worked solution and a mark scheme showing where the marks go.

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