DP Economics
Question 19M.3.HL.TZ0.3e.i
| Date | May 2019 | Marks available | [Maximum mark: 2] | Reference code | 19M.3.HL.TZ0.3e.i |
| Level | HL | Paper | 3 | Time zone | TZ0 |
| Command term | Define | Question number | e.i | Adapted from | N/A |
e.i.
[Maximum mark: 2]
19M.3.HL.TZ0.3e.i
Table 1 provides information about Fairland.
Table 1
Figure 6 illustrates Fairland’s demand (D) for and supply (S) of low-wage labour.
Figure 6
In order to raise the living standards of low-wage workers, the government of Fairland has decided to impose a minimum wage of $10 per hour.
The marginal rates of income tax in Fairland are given in Table 2.
Table 2
(e.i)
Define the term marginal rate of tax.
[2]
Markscheme
Examiners report
Relatively few candidates were able to provide a clear and accurate definition. Responses which stated the idea that “it’s what you pay in the top bracket, or in different brackets” were common, as was the idea that it is the change in the rate of tax if income increases.
