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CAIE A-Level Economics A2 10.2.5 Inflation and Unemployment Questions

Practise interpreting inflation and unemployment trade-offs using Phillips curves, data tables, expectations and policy targets.

Syllabus
2026–2028
Course
Economics 9708
Level
A2

Exam points

  • Explain inflation and unemployment trade-offs using Phillips-curve relationships, expectations, data and policy objectives.

CAIE A-Level Economics A2 10.2.5 Inflation and Unemployment Questions question 1

[Maximum number: 1]

The table shows the relationship between inflation and unemployment in Germany from 2019 to 2022.

Table for Question CAIE A-Level Economics A2 10.2.5 Inflation and Unemployment Questions question 1 — CAIE A-Level Economics A2

Some theories argue that inflation rates are at their lowest when the rate of unemployment is low. Which year contradicts this expectation to the greatest extent?

A

2019

B

2020

C

2021

D

2022

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