Specification point 3.5.2 · Theme 3

Supply of labour

Labour market · Business behaviour and the labour market

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11 questions

Essay questions

Long-form evaluation and discussion

5
A-level Paper 1, June 2025, Q8EssayEvaluate
Optional25 marks
ContextIn 2023, the UK prime minister Rishi Sunak said that he wanted to see all students in England study some form of mathematics until they reach the age of 18 to ‘ensure that they leave school better equipped for the jobs of the future’. This would require additional spending on education. Just half of all 16 to 19 year-olds study mathematics. Yet in a world where data is everywhere and statistics are vital in every job, the workforce will require more analytical skills than ever before.

Evaluate the likely microeconomic effects of increased spending on education.

1.3.2 · Externalities1.4.1 · Government intervention in markets3.5.2 · Supply of labour1.4.2 · Government failure
Externalities revision notes Government intervention in markets revision notes Supply of labour revision notes Government failure revision notes
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A-level Paper 1, June 2022, Q8EssayEvaluate
Optional25 marks
ContextSome occupations in the UK are facing large labour shortages. Hard-to-fill vacancies include qualified chefs, software engineers, construction workers and qualified nurses.

Evaluate the factors that might influence the supply of labour in an occupation of your choice.

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3.5.2 · Supply of labour
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Data-response questions

Questions built around exam extracts

3
A-level Paper 3, June 2025, Q1(b)Data responseExamine
8 marks

Case study · The cost of living in the UK

With reference to Extract B, examine two likely reasons why wages in supermarkets are above the National Minimum Wage of £10.42.

3.5.3 · Wage determination in competitive and non-competitive markets3.5.2 · Supply of labour3.5.1 · Demand for labour
Wage determination in competitive and non-competitive markets revision notes Supply of labour revision notes Demand for labour revision notes
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A-level Paper 3, November 2021, Q1(c)Data responseDiscuss
12 marks

Case study · Hand car wash (HCW) firms in the UK

Discuss the likely effects of changes in the level of migration on firms such as HCWs in the UK. Use a labour market diagram and the information provided to support your answer.

Diagram needed. Open the original question paper for the diagram

3.5.2 · Supply of labour3.5.3 · Wage determination in competitive and non-competitive markets
Supply of labour revision notes Wage determination in competitive and non-competitive markets revision notes
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Short-answer questions

Focused calculations, explanations and diagrams

2
A-level Paper 1, June 2023, Q5(b)Short answerExplain
4 marks
ContextIndex of pay in the public and private sector. Nominal average weekly earnings (base year January 2018 = 100) 120 118 Private Sector 115 114 Index 110 Public Sector …

Over 90% of nurses work in the public sector. Nurses in the public sector have experienced wage rises lower than those in the private sector over the past 10 years. Using the information provided and the concept of monopsony, explain why nurses in the public sector have had lower wage rises than those in the private sector.

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3.5.2 · Supply of labour3.5.3 · Wage determination in competitive and non-competitive markets
Supply of labour revision notes Wage determination in competitive and non-competitive markets revision notes
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A-level Paper 1, November 2021, Q1(b)Short answerExplain
4 marks
ContextStatement 1: Since Poland joined the European Union (EU) in 2004, over one million of its workforce have migrated to other countries in the EU. Statement 2: Many engineers have left Poland for higher paid jobs in other countries in the EU.

Explain the likely impact of migration on the wage level of engineers in Poland.

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3.5.2 · Supply of labour3.5.3 · Wage determination in competitive and non-competitive markets
Supply of labour revision notes Wage determination in competitive and non-competitive markets revision notes
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Multiple-choice questions

Quick checks of economic understanding

1
A-level Paper 1, June 2025, Q5(b)Multiple choice
1 mark

There has been a significant decrease in the supply of agricultural workers in the UK. Which one of the following is the most likely cause of this decrease?

AIncreased demand for UK-grown strawberries
BIncreased job security for qualified workers in the industry
CIncreased productivity of workers in the industry
DIncreased wages in the retail industry
3.5.2 · Supply of labour
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