0455.4.8.3 — causes of inflation and deflation Causes of inflation: demand-pull and cost-push. Causes of deflation: demand-side and supply-side.: past paper questions
Real questions on 0455.4.8.3 — causes of inflation and deflation causes of inflation: demand-pull and cost-push. causes of deflation: demand-side and supply-side.
The newest 14 of 14 written questions. Open one to see it on the real paper.
- 0455/21 · October/November 2025 · Q3d[8]
Discuss whether or not deflation is a problem for an economy.
See it on the paper → - 0455/11 · October/November 2024 · Q25[1]
What is the most likely cause of this?
See it on the paper → - 0455/21 · October/November 2024 · Q5c[6]
Analyse how a rise in tourism can increase inflation in an economy.
See it on the paper → - 0455/23 · October/November 2024 · Q1c[2]
Explain the type of inflation experienced by Belarus.
See it on the paper → - 0455/21 · May/June 2023 · Q3d[8]
why some countries may experience lower inflation in the future and some may not.
See it on the paper → - 0455/12 · October/November 2022 · Q22[1]
What is most likely to cause inflation?
See it on the paper → - 0455/12 · October/November 2021 · Q17[1]
What is a cause of demand-pull inflation?
See it on the paper → - 0455/23 · October/November 2021 · Q3b[4]
Explain two ways an increase in wages can cause inflation.
See it on the paper → - 0455/21 · October/November 2020 · Q2b[4]
why inflation may fall even if there is an increase in total demand.
See it on the paper → - 0455/22 · May/June 2020 · Q1b[2]
two possible causes of demand-pull inflation in Pakistan in 2017.
See it on the paper → - 0455/21 · October/November 2019 · Q4b[4]
Explain two causes of inflation.
See it on the paper → - 0455/11 · May/June 2019 · Q22[1]
What is most likely to lead to an increase in demand-pull inflation?
See it on the paper → - 0455/12 · May/June 2019 · Q16[1]
What is most likely to cause a rise in the rate of inflation in an economy?
See it on the paper → - 0455/22 · February/March 2019 · Q1a[2]
two
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What examiners said
An understanding of inflation was clearly shown in many of the answers given. Strong answers explained the main causes of inflation e.g. total demand was exceeding total supply causing demand-pull inflation or higher costs causing cost-push inflation. These strong answers also explained that government contractionary fiscal and monetary measures could cause low inflation. However, many candidates...
— Examiner report, May/June 2023, 0455/21 Q3(d) (Cambridge)
Question 22 was answered correctly by 28 per cent of the candidates who chose option D. 24 per cent chose option A, 16 per cent chose option B and 32 per cent chose option C. An increase in trade union power is likely to lead to a demand for wage increases. These, in turn, would lead to increased spending and this increase in demand is likely to cause an increase in prices. (Option D).
— Examiner report, October/November 2022, 0455/12 Q22 (Cambridge)
Strong answers came from those candidates that explained how wage increases led to higher total demand and demand-pull inflation or higher costs of production and cost-push inflation. Weaker answers wrote about rising prices or inflation without mentioning the type of inflation. A few confused the two and wrote about demand-push and cost-pull.
— Examiner report, October/November 2021, 0455/23 Q3(b) (Cambridge)
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