DP Economics
Question 20N.3.HL.TZ0.2e.ii
| Date | November 2020 | Marks available | [Maximum mark: 1] | Reference code | 20N.3.HL.TZ0.2e.ii |
| Level | HL | Paper | 3 | Time zone | TZ0 |
| Command term | Calculate | Question number | e.ii | Adapted from | N/A |
e.ii.
[Maximum mark: 1]
20N.3.HL.TZ0.2e.ii
An economist advises the government of Country A to spend $207 million on a new infrastructure project. She estimates that as a result, nominal GDP would increase by $828 million, ceteris paribus.
(e.ii)
Calculate the estimated value of the multiplier used by the economist.
[1]
Markscheme
0.75 is sufficient for [1].
OFR applies.
Examiners report
Well-answered, although some candidates were careless and applied the formula incorrectly (eg MUL T = 1/MPC) the majority of responses were correct.
