DP Economics
Question 18M.3.HL.TZ0.d.i
| Date | May 2018 | Marks available | [Maximum mark: 1] | Reference code | 18M.3.HL.TZ0.d.i |
| Level | HL | Paper | 3 | Time zone | TZ0 |
| Command term | Describe | Question number | d.i | Adapted from | N/A |
d.i.
[Maximum mark: 1]
18M.3.HL.TZ0.d.i
The following information in parts (a) to (d) refers to the economy of Country Alpha.
Table 1
The graph below shows the short-run Phillips curve (SRPC) for Country Alpha.
The price of oil is expected to rise significantly, causing a sustained increase in energy costs.
Describe the likely effect of this sustained cost increase on the short-run Phillips curve (SRPC).
[1]
Markscheme
A shift to the right or vertical upward shift or an outward shift of SRPC is sufficient for [1].
