Edexcel IGCSE Economics 1.2.5.b Factors Affecting Labour Supply
Practise explaining how population, migration, participation, retirement, qualifications and mobility alter labour supply.
- Syllabus
- First assessment 2019
- Course
- Economics 4EC1
Exam points
- identify whether a demographic or participation change increases or reduces available workers
- shift the labour-supply curve and trace the likely wage and employment effect
- apply pension age, migration, skills or mobility evidence to the stated labour market
1.2.5.b Factors affecting the supply of labour question 1
[Maximum number: 3]
In 2015, the school-leaving age in England was raised from 16 to 18.
Explain one possible effect on the supply of labour of the school-leaving age being raised.
Bupa is an international firm that provides healthcare products to 32 million customers in 190 countries. The initial purpose of the firm was to provide health insurance. It has grown by offering a wider range of services. These include retirement homes for the elderly, eye care, hospital treatment, dental work and travel insurance.
AO2 3 marks
Award 1 mark for identifying an effect
Award 1 mark for developing the response
Award 1 mark for the response being in context
- One effect would be a decrease in the supply of labour (1) because young people would not be able to be employed full-time until they reached the school-leaving age (1) which means only people over 18 in England could contribute to the supply of labour (1)
Accept any other appropriate response
(3)
Question
Number
With reference to the data above and your knowledge of economics, analyse why Bupa may have decided to operate in a wider range of markets.
Indicative content
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