Question 23M.2.SL.TZ0.d
| Date | May 2023 | Marks available | [Maximum mark: 4] | Reference code | 23M.2.SL.TZ0.d |
| Level | SL | Paper | 2 | Time zone | TZ0 |
| Command term | Explain | Question number | d | Adapted from | N/A |
Using an exchange rate diagram, explain how the end of the commodity boom might have contributed to the depreciation of the peso (Text A, paragraph 4).
[4]
Candidates who label diagrams incorrectly can be awarded a maximum of [3].
For an exchange rate diagram, the vertical axis may be exchange rate, price/value of the peso in US$, US$/peso or US$ per peso (another currency or simply âanother currencyâ may be used instead of âUS$â). The horizontal axis should be quantity, or quantity of peso. A title is not necessary.
Except for occasional mislabelling of the vertical axis and incorrect curve shifts, this question was generally well attempted. Some explanations were incomplete as they merely stated that decreased exports would shift the demand curve to the left without elaborating on the reduced need for foreign consumers to purchase the peso to pay for goods from Uruguay.
