AQA As Economics Paper 2 2025 Question Paper Pdf

Download the official AQA AS Economics Paper 2 question paper from the May 2025 series (7135/2), sat on **Monday 19 May 2025 (morning)**. This paper focuses on **The National Economy in a Global Context** and is worth **70 marks over 1 hour 30 minutes**.

### **Section A: Multiple-choice (pages 2–12)**
This section contains **20 multiple-choice questions** testing core macroeconomic concepts:

- **Macroeconomic objectives (page 2):**
- Stable economic growth, inflation control, employment
- **Productivity and output gaps (page 2):**
- Slower productivity growth → implications for output
- **Nominal vs real GDP (page 3):**
- Combining inflation (2%) and real growth (6%) → nominal ≈ 8%
- **AD/AS analysis (page 3):**
- Shifts in aggregate demand and long-run aggregate supply
- **Economic growth concepts (page 4):**
- Difference between short-run and long-run growth
- **Recession impacts (page 4):**
- Rising uncertainty and falling confidence

Quantitative and data-based questions include:
- **Multiplier calculation (page 5):**
- Using government spending and national income data
- **Macroeconomic indicators (page 6):**
- GDP growth, inflation, unemployment, and current account trends
- **Circular flow of income (page 6):**
- Identifying injections (exports, investment, government spending)

Advanced topics tested:
- **Supply-side policies (page 8):**
- Incentives and productivity improvements
- **Unemployment types (page 8):**
- Structural unemployment from technological change
- **Aggregate demand shifts (page 12):**
- Impact of competitiveness, taxes, and interest rates

For example, the **table on page 6 (Table 2)** shows rising GDP growth, falling unemployment, and increasing inflation, requiring recognition of potential **policy conflicts**.

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### **Section B: Data Response (50 marks total)**
Students choose **ONE context**:

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### **Context 1: Population Changes and the UK Economy (pages 13–23)**

- **Q21 (3 marks):** Define *national debt*
- **Q22 (4 marks):** Calculate **national debt per head** using population data
- **Q23 (4 marks):** Compare **natural population change vs net migration**
- **Q24 (4 marks):** Complete **pie chart** of age structure (2039 forecast)
- **Q25 (10 marks):** Explain how **labour shortages cause inflation**
- e.g. higher wages → cost-push inflation
- **Q26 (25 marks):** Evaluate:
- *Is education & training essential for long-run macroeconomic performance?*
- Includes productivity, human capital, and supply-side policies

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### **Context 2: Business Investment in the UK Economy (pages 24–33)**

- **Q27 (3 marks):** Define *supply-side shock*
- **Q28 (4 marks):** Calculate **investment index (base year = 2017)**
- **Q29 (4 marks):** Compare **investment vs GDP growth trends**
- **Q30 (4 marks):** Complete **aggregate demand components bar chart**
- **Q31 (10 marks):** Explain how **higher corporation tax reduces productivity growth**
- e.g. lower retained profits → less investment
- **Q32 (25 marks):** Evaluate:
- *Should the government intervene to increase investment?*
- Includes fiscal policy, incentives, confidence, and long-run growth

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### **Key Skills Assessed**
- Data interpretation and calculations
- AD/AS diagram analysis
- Application of macroeconomic theory
- Evaluation of government policy
- Essay writing (10-mark and 25-mark responses)

For example, the **diagram question on page 9** requires analysing the impact of tax cuts and transfers on AD/AS, combining both demand-side and supply-side effects.

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This paper is essential for mastering macroeconomic analysis, calculations, and evaluation skills required for top grades in AS Economics.
Fully updated for the 2025/2026 academic year and optimised for instant download on markscheme.net.

This paper is ideal for Year 12 students preparing for AQA AS Economics exams and Year 13 students revising macroeconomic concepts for A-Level Economics.

Teachers and tutors use this resource for mock exams, timed assessments, and data-response practice. It is also perfect for independent learners aiming to improve analytical and evaluative skills.