Answering 2-Mark Questions (Cambridge International IGCSE Economics)

How do I answer a 2-mark Economics question?

• To answer IGCSE Economics 2-mark questions, consider the following:

  • These questions test AO1 knowledge. You must either:

    • Define a term precisely (two key elements)
    • Identify two correct points
    • State two features, causes, or effects
    • Calculate a numerical answer (showing working)
    • Explain a single point

• You gain marks for:

  • Two accurate points OR
  • A concise definition containing two essential elements OR
  • A correct calculation with working

Worked Example Define opportunity cost

Model Answer

Opportunity cost is the next best alternative foregone (1) when a choice is made between different options (1).

Mark Scheme Guidance

• Definitions must contain two clear sub-parts
• Avoid circular definitions

Worked Example Identify two causes of inflation

Model Answer

• Higher consumer demand (1)
• Rising production costs (1)

Worked Example State two functions of money

Model Answer

• Medium of exchange (1)
• Store of value (1)

Mark Scheme Guidance

• Provide two separate, clear functions
• No explanation required
• Answers must be distinct (e.g. “medium of exchange” and “means of payment” are not distinct)

Worked Example Calculate the unemployment rate

Population = 50 million Labour force = 30 million Unemployed = 3 million

Model Answer

Unemployment rate = (Unemployed ÷ Labour force) × 100

= (3 ÷ 30) × 100 = 10% (2)

Examiner Tip Always include units: %, $, index number, etc

Worked Example Explain one reason why productivity increased in Algeria’s tertiary sector.

Model Answer

Productivity may have increased because firms invested in new technology (1). which allowed workers to produce more output in the same amount of time (1)

Mark Scheme Guidance

• 1 mark for the reason
• 1 mark for the development
• Only one reason needed
• No chains or evaluation required

Examiner Tip Use the pattern reason → effect