Public Assessment. HKDSE Econ 2017 live paper Oct/Nov 2017

Transcription

1 Public Assessment HKDSE Econ 2017 live paper Oct/Nov 2017

2 Live papers Paper 1: On compulsory part of the curriculum Answer all questions 45 multiple choice questions Account for 30% of the subject marks 60 minutes

3 Live papers Paper 2 section A: On compulsory part of the curriculum Short questions All questions are compulsory 9 short questions 50 marks Account for 30% of the subject marks From 2019 total mark for section A: 44 marks (26 % of the subject marks)

4 Live papers Paper 2 section B: On compulsory part of the curriculum Structured/essay-type questions All questions are compulsory 4 structured questions 54 marks Account for 31% of the subject marks From 2019 total mark for section B: 60 marks (35% of the subject marks)

5 Live papers Paper 2 section C: On elective part of the curriculum Structured/essay-type questions Attempt questions on ONE elective only 2 structured questions 16 marks each Account for 9% of the subject marks In Exam: Total time is 2 hours 15 mins From 2019, Total time: 2 hours 30 mins

6 Paper 1 Number sat: Overall mean score of 2017: 28.7 out of 45 question = 63.9% Overall mean score of 2016 = 59.7%

7 Paper 1 Q4 Which of the following would be the loss(es) of delaying the completion of a new railway to an economy? (1) the travel time of passengers that would have been saved by the new railway during the period of delay (2) the damage to the corporate image of the railway constructor for the delay (3) the nuisance to the shops and residents nearby during the period of delay A. (1) only (16%) B. (2) only (17%) C. (3) only (23%) D. (1), (2) and (3) (44%)

8 Paper 1 Q13 Which of the following is INCONSISTENT with the law of demand? A. The abolishment of per unit import tariff on garment results in a rise in the quality of imported garments. B. Live fishes sold in a market near the fish farm have a higher price than frozen fishes sold in a faraway market. C. The ratio of high-quality white wine sold to total white wine sold remains unchanged when the government imposes an ad valorem tax on white wine. D. Developers tend to build higher-quality housing units on a piece of land with a good view. (46%) (12%) (32%) (11%)

9 Paper 1 Q18 Suppose the government imposed an effective rent control on living units. Which of the following would LEAST likely occur? A. There would be a shortage of living units. (10%) B. Black market would emerge. (32%) C. Poor people would be able to rent a living unit more easily. D. Landlords would have a lower incentive to renovate their living units for rent. (47%) (11%)

10 Paper 1 Q25 The following diagram shows a production chain of watches in an economy: The contribution of the local watch manufacturers to the economy s GDP at market prices is. A. $220 (40%) B. $240 (11%) C. $350 (16%) D. $400 (33%)

11 Paper 1 Comments Time: 45 MCQs in 60 mins Sufficient time (No. of MCQ up?) Candidates are weaker in - Data interpretation - Application formula for calculation - Integration of topics - Macroeconomics - Social/economic issues

12 Paper 2 Number sat: 14,284 Overall mean score in 2017: 55.9% Overall mean score in 2016: 55.3% Overall mean score in 2015: 53.4%

13 Paper 2 Marking Onscreen Marking System (OSM) Scanned images Markers mark in Assessment Centres Section A1, A2, B1, B2, C Each Marker marking marks 600 to 800 scripts Increase reliability

14 Paper 2 Welcome the Assistant Examiners to comment on the candidates performance by Section: Section A1: (Q1, 3, 5, 12) Section A2: (Q2, 4, 10) Section B1: (Q6, 9, 11) Section B2: (Q7, 8, 13) Section C: (Q14, 15)

15 Paper 2 Section A1 (Q1,3,5,12) Q1 Serine is working in the Hong Kong branch of a multinational firm. She is considering the next step in her career. She has several options and her order of preference is as follows: First option: Second option: Third option: to work in a firm located in South Korea to switch to a local firm without overtime work to stay in the current firm Explain whether the opportunity cost of switching to the local firm without overtime work will necessarily remain unchanged (a) if the military threat from North Korea to South Korea becomes more intense. (2 marks) (b) if she wants to enjoy more leisure time. (3 marks)

16 Paper 2 Section A1 (Q1,3,5,12) Q3 Refer to the following chart. Market share of Top 5 banks on mortgages for completed units in Hong Kong in 2015 Others 23% Bank of China (HK) 21% The Bank of East Asia 5% Standard Chartered Bank 14% HSBC 19% Hang Seng Bank 18% What was the market structure of the above market in 2015? List TWO features of this market structure. (3 marks)

17 Paper 2 Section A1 (Q1,3,5,12) Q5 Due to political instability, the currency of a country depreciates sharply and becomes highly volatile. Which TWO functions of money may be weakened? Explain. (4 marks) Q12 Before the British people voted against staying in the European Union (EU), i.e. Brexit, workers from the EU were free to work in Britain and vice versa. Brexit has shocked the economies in Europe and the following table shows some views on Brexit: British politicians: Low-skilled EU workers should be required to apply for a visa to work in Britain. Global investors: Political uncertainty in Britain increases the risk of investment projects there. British firm owners: The new visa requirement for EU workers affects most of the firms in the British economy. EU officials: British citizens may require a visa to visit or to work in the EU countries.

18 Paper 2 Section A1 (Q1,3,5,12) Q12 (a) Referring to the view of the British politicians, explain how labour mobility of the low-skilled workers from the EU would be affected. (3 marks) (b) Referring to the views of the British firm owners and global investors, discuss the effect of Brexit on the aggregate output of Britain in the short run with the aid of a diagram. (8 marks) (c) Referring to the view of the EU officials, which TWO components of current account in the balance of payments of Britain may be affected? Explain your answer. (4 marks)

19 Paper 2 Section A1 Report Q. Highlight of the comments 1 misunderstood the question as asking about the cost of working in a firm located in South Korea mis-stated that the cost of the 2nd option would be the 3rd option some candidates provided proper reasons why the value of the 1st option may drop in b). 3 mis-spelt keyword 5 wrongly stated functions of price wrongly stated features of good money

20 Paper 2 Section A1 Report 12(a) missed the term geographical failed to accurately state the direction of the effect 12(b) failed to relate the change of AD to the global investors view and the change in SRAS to the British firm owners view mislabelled the y-axis as $, SRAS as S, AS curves as D, AD curves as SRAD failed to indicate correctly the new equilibrium price level and aggregate output at the intersection of the new SRAS and AD curves mistaken quantity transacted for aggregate output

21 Paper 2 Section A1 Report 12(c) failed to start their analysis from the standpoint of Britain Wrongly considered labour services offered by British citizens in EU countries as visible trade mistook transfer payment for current transfer and the invisible account for invisible trade account

22 Paper 2 Section A2 (Q2,4,10) Q2 Steven is a restaurant owner. He pays his waiters a monthly salary and allows them to keep the tips from customers. (a) Compared to time rate, explain why the above arrangement is preferred from the viewpoint of (i) the employees. (ii) the employer. (4 marks) (b) Due to the opening of several new branches, the average cost of production of the restaurant has increased. Explain with TWO reasons why this happens. (4 marks)

23 Paper 2 Section A2 (Q2,4,10) Q4 Pokémon Go is a popular game for which gamers need to move around different places with their smartphones to catch the cyber-pets. Its developer has placed hotspots in different areas where many gamers are attracted to gather. Some restaurants in remote areas found their business sharply increased as they are located near these hotspots. (a) Based on the above information, explain, in terms of externality, how the placing of the hotspots may result in inefficiency.(3 marks) (b) How may such a problem of inefficiency be relieved by market?

24 Paper 2 Section A2 (Q2,4,10) Q10. MTR Corporation Limited (stock code: 66) provides railway services in Hong Kong. (a) MTR is a listed company. State TWO differences between such an ownership and a private limited company. (2 marks) (b) Some politicians suggest that the government should buy back the shares of MTR so that the company would become wholely owned by the government. Discuss the suggestion by giving ONE argument FOR and ONE argument AGAINST it. (4 marks)

25 Paper 2 Section A2 (Q2,4,10) (c) Based on Table 1, can we conclude that the increase in total revenue is a result of inelastic demand for the local services of MTR? Explain your answer with the aid of a diagram. (7 marks) Table 1: Business information about the local services of MTR Year Fare Adjustment Rate Total Passengers Boarding (in million) Total Revenue (HK$ million) % % %

26 Paper 2 Section A2 (Report) 2(a) confused the viewpoints of the employees and the employer 2(b) failed to differentiate between the concepts of total cost and average cost mixed up economies and diseconomies of scale 4(a) mistakenly thought that the existence of external benefits was due to a lack of compensation to the gamers mistook it as a case of over-production instead of under-production 4(b) mistakenly thought that the gamers should be paid wrongly discussed how the government could intervene

27 Paper 2 Section A2 (Report) 10(b) failed to assess the suggestion from the perspective of society mis-labelled arguments for the suggestion under the heading of arguments against, or vice versa failed to support arguments with proper elaboration in economic terms 10(c) failed to realise that both price and quantity transacted had increased Just recalled the definition of inelastic demand and tried to match the data

28 Paper 2 Section B1 (Q6,9,11) Q6 (a) Why can the introduction of a general sales tax stabilise government revenue in times of economic downturn? (2 marks) (b) Suggest ONE type of direct tax in Hong Kong that follows the tax principle of equality put forward by Adam Smith. Explain your answer. (2 marks) Q9 Figures 1 and 2 show some macroeconomic data of the US. (a) Refer to Figure 1. Identify the phase of business cycle which point A is in. (1 mark) (b) How may a reduction in interest rate help the US economy in 2009? Without using a diagram, explain your answer in the light of aggregate supply and/or aggregate demand. (3 marks)

29 Paper 2 Section B1 (Q6,9,11)

30 Paper 2 Section B1 (Q6,9,11) (c) Discuss whether the data in Figures 1 and 2 are consistent with your answer in (b). (4 marks) (d) Suggest ONE policy that will help increase the aggregate output in the long run. Briefly explain your answer. (2 marks)

31 Paper 2 Section B1 (Q6,9,11) Q11 The government of Country X introduces a per-unit subsidy to the education services of private universities. (a) Under what condition would the students enjoy a larger share of subsidy benefit than the private universities? Illustrate your answer with the aid of Figure 3. (7 marks) (b) The subsidy causes inefficiency even though both students and universities benefit. Defend the statement by comparing the marginal cost and marginal benefit in Figure 3. (3 marks) (c) Explain whether subsidising education can help improve equality. (3 marks)

32 Paper 2 Section B1 (Report) 6(a) failed to point out that consumption is less volatile than income over the business cycle 6(b) failed to specified the standard tax rate 9(b) argued that there was an increase in SRAS without providing a concrete elaboration 9(c) confused the two sets of data shown in Figure 2 mis-interpreted the word consistent mis-quoted the data 9(d) wrongly stated the policies stimulating aggregate demand

33 Paper 2 Section B1 (Report) 11(a) Mistook that elastic supply or inelastic demand alone was sufficient for the students to enjoy a larger share of subsidy benefit wrongly compared consumer surplus and producer surplus, instead of consumer share and producer share of the subsidy benefit 11(b) wrongly labelled the after-subsidy supply curve as the marginal cost curve; mis-labelled the area of deadweight loss at a wrong location 11(c) failed to emphasize that the impact of the policy fell mainly on the low-income group

34 Paper 2 Section B2 (Q7,8,13) Q7 Country A and Country B both allocate half of their resources in producing food and half in producing computers. Their total output is shown below. Food (units) Computer (units) Country A Country B (a) Explain whether Country B (i) enjoys an absolute advantage in producing computers. (ii) will export computers. (5 marks) (b)suppose the exchange ratio is 4 units of computer for 7 units of food. Calculate the gain from trade for the computer-exporting country when it exports 16 units of computer. Show your working. (3 marks)

35 Paper 2 Section B2 (Q7,8,13) Q8 The following table shows the balance sheet of a banking system which has excess reserves of $250. Assets ($) Liabilities ($) Reserves Deposits Loans (a) Find the required reserve ratio. (1 mark) (b) Suppose the banks lend out all excess reserves and the public does not hold cash. Calculate the change in deposits after credit creation. Show your working. (2 marks)

36 Paper 2 Section B2 (Q7,8,13) Q13 To cope with the problem of a rapidly aging population in Hong Kong, the government has proposed a retirement protection scheme under which eligible elderly would receive $ per year. (a) Mr. Chan, a street sleeper, is eligible to receive $ under this scheme. He would be able to afford the service of an elderly care centre and would spend $ of the money to pay the yearly charges. (i) To which type of production does elderly care service belong? (1 mark) (ii) If Mr. Chan moved to an elderly care centre, explain how the GDP of Hong Kong would be affected. (2 marks)

37 Paper 2 Section B2 (Q7,8,13) Q13 (b) To finance the scheme, there are different proposals which include: Proposal A: Proposal B: increase the standard tax rate and the progressivity of salaries tax use the fiscal reserves in the government Discuss the effects of these two proposals on economic variables which include (i) aggregate output, (ii) income distribution, and (iii) ONE other economic variable. (10 marks)

38 Paper 2 Section B2 (Report) 7(a) mistakenly thought that both countries have the same amount in part (i) failed to show the correct calculation of the opportunity costs of production in the 2 countries in part (ii) 7(b) mixed up per-unit gain from trade and total gain from trade 8(b) overlooked the key word change in the deposits 13(a)(i) failed to spell the word tertiary correctly 13(a)(ii) wrongly regarded $30000 as a transfer payment

39 Paper 2 Section B2 (Report) 13b showed improvement when compared to similar questions last year. failed to focus their analysis on the proposals to finance the scheme, but devoting much of their effort to elaborate on the effects of the transfer payment instead 13b(i) did not realise that no extra tax would be charged, so that there would be no extra effect on aggregate output for proposal B, 13b(ii) focused on the transfer payment and reach an irrelevant conclusion 13b(iii) failed to attempt the question

40 Paper 2 Section C (Q14-15) Q14 Suppose HK ONLINE is the only Internet service provider (ISP) in some private housing estates in Hong Kong. Figure 4 shows the demand for this service. (a) An economist stated that once the Internet network has been installed, the marginal cost of providing the Internet service would be zero. (i) With the aid of Figure 4, explain how HK ONLINE would set a price to maximise its profit under a uniform price arrangement. (4 marks) (ii) Indicate the efficient output level as QE in Figure 4. (1 mark)

41 Paper 2 Section C (Q14-15)

42 Paper 2 Section C (Q14-15) (b) Explain whether the following pricing arrangements of HK ONLINE constitute price discrimination. (i) Compared to the existing customers, new customers are charged a lower price for the same service plan. (3 marks) (ii) Internet service subscribers pay less for the same service plan if they also subscribe to the TV service from HK ONLINE. (3 marks) (c) It is reported that HK ONLINE colludes with other ISPs. Other firms agree to let HK ONLINE be the sole service provider in some private housing estates. In return, HK ONLINE agrees not to compete with these firms in other estates. (i) Which anti-competitive behaviour are the firms engaged in? List TWO possible motives for the firms. (3 marks) (ii) Which conduct rule of the Competition Ordinance have these ISPs violated in the above case? Explain. (2 marks)

43 Paper 2 Section C (Q14-15) Q15 Figure 5 shows the production possibility frontier AA of Country A. PA is the production point when there is no trade. TT is the world price line of Good X.

44 Paper 2 Section C (Q14-15) (a) Initially Country A did not engage in international trade. (i) Indicate the consumption point of Country A as CA in Figure 5. Explain your answer. (2 marks) (ii) Show the opportunity cost of producing Good X in Figure 5. Explain whether Country A would have a comparative advantage in producing Good X. (Hint: you may add a straight line at PA.) (4 marks) (b) Country A opens up to international trade. (i) Draw the consumption possibility frontier (CPF) of Country A in Figure 5. Indicate the production point as PT in Figure 5 and explain your answer in terms of marginal cost. (3 marks) (ii) Indicate the consumption point as CT in Figure 5. Why is Country A better off after trade? (2 marks) (iii) Indicate the volume of imports as M in Figure 5. (1 mark)

45 Paper 2 Section C (Q14-15) (c) The following table shows some data of Country A. Country A opened up to international trade after Year Per-capita real GDP (in US$) Human development index (HDI) With reference to the above table, explain how international trade affects (i) the economic growth of Country A. (2 marks) (ii)the economic development of Country A. (2 marks)

46 Paper 2 Section C (Report) 14(a)(i)(ii) 57% ignored the important information of zero marginal cost wrongly labelled the MC curve as a supply curve mistakenly stated the profit-maximizing condition as MB=MC, MB=MR or MC=marginal return 14(b)(i) misconceived that the lower price offered to new customers as a strategy to attract these new customers inaccurately used the terms first-degree / seconddegree / third-degree price discrimination 14(b)(ii) failed to explain their answers in terms of the lower cost involved when subscribing to two kinds of services 14(d)(i)(ii) failed to provide a clear explanation and to use the keyword agreement.

47 Paper 2 Section C (Report) 15(a)(i) 43% 15(a)(ii) failed to draw a line tangent to PA and were thus unable to show the opportunity cost of producing Good X 15(b)(i)(ii)(iii) failed to draw a CPF parallel to TT 15(c)(i)(ii) wrongly labelled the tangency point between AA and CPF as the consumption point C T wrongly labelled the volume of imports as the gap between P A and C T, or between P A and P T, or confusing volume of imports with that of exports failed to use the equilibrium condition MC=TOT to determine the production point failed to match the explanation of the post-trade betteroff Country A with the correct consumption point C T failed to provide proper, trade-related reasons

48 Paper 2 General reminder: Please don t use colour to indicate the areas in the diagram Don t successively use symbols in the answer. Express the answer in a comprehensible way: rough work written outside the designated spaces will NOT be marked.

49 Paper 2 Overall comments Some candidates lack a thorough understanding of basic economic concepts and principles, and thus have difficulty in applying them to solve hypothetical or real-life problems. Candidates should strengthen their analytical skills instead of simply regurgitating concepts and theories. Some candidates do not read all the questions carefully. Candidates should devote special attention to the assumptions and conditions laid down in the questions so as to avoid giving irrelevant answers. Some candidates provided convoluted answers. Candidates should equip themselves with better language abilities as well as graphical skills, and present their answers in a clear and precise way. Some candidates were unaware of current economic issues. Candidates should pay more attention to economic news. Some candidates showed a weakness when extracting information from tables and graphs as well as when drawing well-labelled diagrams. Candidates should pay special attention to the headings, labels, and axes as they are essential to our understanding of the data presented therein.

50 Grading - paper marks and subject marks Raw mark of Paper 1 (max mark): 40 Raw mark of Paper 2 (max mark): 124 Adjusted mark: Marks awarded by markers are adjusted, if necessary, to rectify lenient, strict or erratic marking. Weighted paper mark: Marks of different papers are converted to the same comparable scale, taking into account the spread of marks in different papers and the published paper weightings, before they are combined to form the subject mark.

51 Grading - Grading procedures 1. Sample scripts selection 2. Standardisation 3. Post-marking exercise: The grading panel will discuss and suggest a provisional grading recommendation (including preliminary cut score range) on each paper through expert judgment base on:

52 Grading Post-marking exercise The level descriptors The standards of 2012 DSE (library scripts) Marked-live scripts, selected according to the total marks Feedback from markers on the level of difficulty of papers Inter-paper correlations, the mean and standard deviation of the current year s papers Paper mark cumulative distributions Performance samples from 2015 and 2016 DSE (library scripts)

53 Grading Panel of judges grading meeting Preliminary cut score range Samples scripts around the cut score range Group ability index: - constructed per level - An index for each level based on the number of candidates in this group (this subject) achieving that particular level in the four core subjects - depends on the correlation of the subject and EACH of the 4 core subjects

54 Grading Panel of judges grading meeting Panel of judges considers: preliminary cut score range Samples scripts around the cut score range Group ability index (GAI) as reference Recommendation for the cut score for the subject The panel of judges plays a very important and independent role in setting a cut score for each level based on the actual performance of candidates

55 Grading Internal meeting and Public Examinations Board meeting Internal meeting: A senior management team led by Secretary General of the Authority will meet to review the recommendations of individual subject panels. PEB meeting: The recommendations of the internal meeting will be reviewed at the PEB meeting and the final cut scores of all HKDSE subjects must be endorsed at this meeting.

56 Grading Determination of level 5** and 5* Statistically determined The highest 10% (approximately) of level 5 candidates will be awarded 5** The next highest-achieving 30% (approximately) of level 5 candidates will be awarded 5*

57 Grading: Standard Maintenance Standard of the level 1,2,3,4,5 should be maintained across years The cut scores NOT constant: The cut scores depends on level of difficulty of the papers and the actual performance of the candidates It is possible that a level 2 candidate perform better in one particular question than a level 5 candidate: the level represents the overall performance

58 The following table outlines the various components of the public assessment of Economics in 2019 HKDSE: Component Weighting Duration Paper 1 Multiple-choice questions will be set on the compulsory part of the curriculum. All questions are compulsory. 30% (45 marks) 1 hour Paper 2 Section A: Short questions will be set on the compulsory part of the curriculum. All questions are compulsory. 26% (44 marks) Section B: Structured/essay-type /data response questions will be set on the compulsory part of the curriculum. All questions are compulsory. 35% (60 marks) 2 hours 30 Section C: Structured/essay-type questions will be set minutes on the elective parts of the curriculum. Candidates are 9% only required to attempt the questions from one of the (16 marks) two elective parts. Total for paper 2 70% (120 marks)

59 For part (c), candidates are required to present their answer in essay form. Criteria for marking will include use of sources and economic theories, relevant content, logical presentation and clarity of expression. (c) One hour of time currency can exchange for one hour of service. With reference to the above sources and your knowledge, compare the time currency system with the existing cash system in different aspects such as acceptability, the signaling function of prices, or other aspects. Based on your comparison, give some suggestions to increase the popularity of time currency system. (12 marks) (c) Marks award for effective communication (EC: max 2 marks) Marks Performance 2 Supports arguments with the source/data and appropriate economic theories. Presents relevant material. Presents well-organised and coherent answers without repetition of ideas. Uses language that expresses ideas clearly and fluently. 1 Presents arguments with some support of the source/data and economic theories. Present some irrelevant material. Presents answers in a less organised way with some repetition. Uses language that conveys a clear message with some inappropriate use of words/terms/symbols 0 Presents arguments with no support of the source/data and economic theories. Present material unrelated to the gist of the question. Presents inconsistent arguments. Express limited ideas with inappropriate use of words/terms/symbols The maximum marks for content is 10 marks.

60 2019 年香港中學文憑考試本科公開評核各部分的有關資料概述如下 : 部分比重時間 卷一 多項選擇題 考核範圍 : 必修部分 全部試題均須 作答 30% (45 分 ) 1 小時 甲部 : 短題目 考核範圍 : 必修部分 全部試題均須作答 26% (44 分 ) 卷二 乙部 : 結構 / 文章式 / 資料回應試題 考核範圍 : 必修部分 全部試題均須作答 丙部 : 結構 / 文章式試題 考核範圍 : 選修單元部分 考生只須從兩個選修單元中選取一個作答 35% (60 分 ) 9% (16 分 ) 2 小時 30 分 卷二總分 70% (120 分 )

61 考生須以短文形式回答 (c) 部 評分準則包括運用資料及經濟理論, 內容切題, 鋪排合乎邏輯, 以及表達清晰 (c) 一小時的時間貨幣可換取一小時的服務 參考以上的資料並就你所知, 以不同的方向, 比較時間貨幣制度和現有的現金制度, 例如 接納程度 價格的訊息功能或 其他方向 根據你的比較, 提出一些建議令時間貨幣普及程度提高 ( 12 分 ) (c) 有效傳意評分 (EC: 最高 2 分 ) 分數表現 2 運用資料 / 數據及適當的經濟理論支持論點 答案切合題旨 能以清晰流暢的語文表達意思 答案組織良好, 並且前後連貫一致, 概念沒有重覆 1 從一些資料 / 數據和經濟理論支持論點 部分答案並不切題 能運用語文清晰地傳遞訊息, 但間中用詞不當 / 誤用術語或符號 答案組織一般, 有些概念重覆 0 沒有以資料 / 數據和經濟理論支持論點 答案無關題旨 表達有限的意思, 有用詞不當 / 誤用術語或符號的情況 答案組織鬆散欠連貫 內容最高 10 分