先看题目：Mining diamonds in Botswana
Botswana is the world’s largest producer of diamonds. Indeed, in 2015 diamonds accounted for a third of the country’s Gross Domestic Product (GDP) of US$18 billion and for 80% of the country’s exports.
The country currently gets most of its income from mining and selling rough (uncut) diamonds. It receives only US$700 for a 1.5 carat rough diamond. The diamond is then cut, polished and finished, usually in other countries. India is the market leader in cutting and polishing diamonds. The cost of cutting and polishing diamonds in India is only a quarter of the cost in Botswana. The global average cost of finishing a 1.5 carat diamond is US$8000. The diamond is sold to the
customer with a 25% profit margin.
Botswana is trying to develop industries connected with diamond mining, such as cutting, polishing and jewellery making including diamond rings. Fig. 1 shows how the global market for diamond rings changed in 2015.
The Botswanan Government has also encouraged the world’s largest diamond company to set up in Gaborone, the capital of Botswana. Some government ministers, however, are concerned that Botswana is too dependent on diamonds. They warn that there is a finite supply of diamonds and urge the government to encourage diversification.
As well as diamonds, the country has a number of other strengths. It has good infrastructure, a developed education system and free hospital treatment.
问题：
(a) Identify, using information from the extract, two reasons why a foreign diamond company may set up in Botswana. [2]
题目分析：
1. 题目要我们从文中找出两个外国钻石公司在博茨瓦纳成立公司的原因，总分2分，每个原因各1分。
2. 这道题比较简单，只要找到2点即可得分。
参考答案：
Botswana has a large supply of diamonds (1mark) and there is good infrastructure. (1 mark)
(b) Explain two benefits that a country may gain from the presence of a foreign multinational company. [4]
题目分析：
1. 题目要我们解释两点跨国公司在博茨瓦纳创建公司对于博茨瓦纳的好处。满分4分，每点2分。
2. 注：是对于博茨瓦纳这个国家的好处，不是对于跨国公司本身的好处，答题时切记不要搞混。
3. Explain题型稍难于Identify题型，除了要找对点，还要稍加解释说明。
参考答案：
The output produced by foreign multinational companies will be counted in the country’s GDP.
(1mark)Hence,this may result in increased output and economic growth in the country. (1 mark)
Moreover, the country may benefit from higher rate of employment (1 mark) as the MNCs may hire
domestic workers for their production processes.
(1 mark)
(c) Calculate, using information from the extract:
(i) the value of diamonds produced in Botswana in 2015 [2]
(ii) the average price of a 1.5 carat diamond in 2015. [2]
题目分析：
1. 这道属于计算题，第1题要我们计算2015年博茨瓦纳钻石生产总值，第2题要我们计算2015年1.5克拉钻石的平均价格。
2. 读完文章后我们发现文章中没有给出直接的答案，我们需要简单地运算才能得到。
3. 运算过程必须要带货币单位，本道题中的货币单位为US$
参考答案：
(i) Botswana’s GDP in 2015 = US$ 18 billion
Contribution from diamonds in GDP in 2015 = One third of the GDP
Value of diamonds in 2015= (1/3) x 18 billion = US$ 6 billion
(ii) Cost of 1.5 carat diamond in 2015= US$ 8000
Profit margin= 25%
Actual profit from 1.5 carat diamond= (25/100) x 8000
=US$ 2000
Average price = cost+ profit= US$ (8000+ 2000) = US$ 10000
(d) Analyse why a country could have lower production costs for a particular good than another country. [5]
题目分析：
1. 题目要我们分析为什么有的国家在某样产品生产过程中，相比其他国家，可以有较低的生产成本。相比前三道题，这道分值为5分的题难度较高
2. 这种题型，我们一般要答3个原因，并且要对每个原因进行分析才可以。
3. 答题过程中，要尽可能的结合题目背景进行分析。
参考答案：
A country may have lower production cost for a particular good than another country, if they have more availability of raw materials required, like Botswana has a large supply of diamonds compared to most countries. (1 mark) This allows them to acquire raw materials at a lower cost and hence, reduce cost of production. (1 mark)
Moreover, the country may have a more educated and skilled labour force (1 mark) resulting in increased worker efficiency which allows them to produce at a lower cost. (1 mark)
The government in certain countries may provide
subsidies for the production of that particular good.
(1mark) Furthermore, comparatively lower tax rates in a country may reduce cost of production. (1 mark)
(e) Discuss whether Botswana should mine all its diamonds and sell them as quickly as possible. [5]
题目分析：
1. 题目要我们探讨一下博茨瓦纳是否应该尽快把所有的钻石开采出来。
2. 这种Discuss题型的答题方法为：应该或不应该的理由都需要进行探讨，最后还需要总结以下两种观点
参考答案：
Several factors may determine whether or not Botswana should mine all its diamonds and sell them as quickly as possible.
应该尽快开采的原因：
It may be beneficial for Botswana to do so as it will create employment and result in an increase in income – hence, higher living standards for people in the country. Increased output may result in increased GDP and lead to economic growth in the short run. Furthermore, increased exports of these diamonds may cause an improvement in the balance of payment situation in Botswana. (Up to 3 marks)
不应该尽快开采的原因：
However, it may lead to the fast depletion of diamonds as it is a finite resource and hence, economic growth may not be sustained. Moreover, global demand may be much higher in the future than in present, which means Botswana would be able to earn higher returns if they sold it later. Furthermore, mining all its diamonds will increase supply which may lower prices of diamonds and reduce the revenue earned by producers.
(Up to 3 marks)
总结：
Therefore, generally, extensive output may usually have more benefits in the short run but drawbacks in the long run as the benefits cannot be sustained.
(f) Explain, using information from the extract and Fig. 1, what happened to the market for diamond rings in 2015. [4]
题目分析：
1. 结合题目和图表中的信息来解释一下2015年的钻戒市场发生了什么
2. 如果仅仅看图表，我们可以看出对钻戒的需求demand上升，导致价格上涨，但如果答题只答到了这条信息，最多只能得两分。
3. 想拿到另外2分，我们还需要进一步进行分析，需求上升价格上涨会对钻戒市场有什么影响。
参考答案：
Fig 1 illustrates that the demand for diamonds rose from D to D1, (1 mark) pushing up prices from P to P1.
(1 mark)
Producers may use increased revenue from higher demand (1 mark) to extend quantity supplied. (1 mark)
Both the demand and supply are inelastic. (2 marks)
(g) Discuss the economic arguments for and against providing free hospital treatment to patients. [6]
题目分析：
1. 题目要我们探讨一下是否应该为病人提供免费医疗。
2. Discuss题型的答题思路基本类似，跟e题类似，我们要分析提供免费医疗的利弊，最后要需要总结一下。
参考答案：
Providing free treatment to patients may have both economic benefits and drawbacks.
提供免费医疗的好处：
It may be beneficial as it may lead to increased health of people and increase living standard in the economy. Life expectancy of the country may go up. Poor people receiving free health care may result in a decrease in poverty. Moreover, it may have other external benefits, for example, better access to health care may improve labour productivity and contribute to economic growth.
(Up to 4 mark)
提供免费医疗的弊端：
On the otherhand, there may be drawbacks as well. Government spending on free hospital treatmentsmay have opportunity cost and other significant sectors such as education and infrastructure may be deprived.
Furthermore, increased government spending may result in a rise in aggregate demand in economy which may cause demand-pull inflation. Moreover, as it is produced by the public sector, lack of competition and profit motive may result in poor quality health care and hence, it may not be beneficial. (Up to 4 mark)
总结：
Hence,governments must consider all these factors before providing free hospital treatments
Section 2
先读题目：
In 2015 some German commercial banks reduced their already very low interest rates on deposit accounts. The German Government was hoping that such a change would encourage more Germans to buy shares in German firms. The ability of German firms to buy capital goods would be increased if they could sell more shares or borrow more from commercial banks.
(a) Identify two ways a commercial bank differs from a central bank. [2]
题目分析：
1. 题目要我们从文中找出商业银行和中央银行的两点区别
2. 这道题比较简单，只要找到2点区别即可得分。
参考答案：
Commercial banks are privately owned whereas central banks are government owned. (1 mark)
Moreover, countries may have many commercial banks but they only have one centre bank. (1 mark)
(b) Explain the connection between opportunity cost and the purchase of shares. [4]
题目分析：
1. 题目要我们解释机会成本和购买股票之间的关联。
2. 这道题的答题思路：首先我们需要解释一下机会成本的定义，然后再解释一下购买股票会产生什么样的机会成本。
参考答案：
Opportunity cost is the next best (1 mark) alternative
forgone. (1mark) The opportunity cost of buying shares may be using the money for other purposes. For example, money may be put in banks for savings. (2 marks)
(c) Analyse how a fall in the rate of interest may affect a country’s exchange rate. [6]
题目分析：
1. 题目要我们分析一下利率降低会如何影响汇率
2. 这道题6分题，我们可以从2-3方面去进行分析，每个点的分析可以拿到2-3分。下边这份参考答案是通过2点来进行分析，每点3分。
参考答案：
A fall in interest rate may make loans cheaper and therefore, encourage spending along with demand for imports. (1 mark) Increased import spending may increase the supply of domestic currency (1 mark) in the market, causing its value to fall. (1 mark)
Moreover, falling returns from saving due to lower interest rate may discourage foreigners from putting money in the country's bank. (1 mark) People of the country may decide to put money in foreign banks and in crease demand of those currencies. (1 mark)
This may reduce demand for the domestic currency and cause its price to fall. (1mark)
(d) Discuss whether an increase in spending on capital goods will help to achieve the aims of government policies. [8]
题目分析：
1. 题目要我们探讨一下购买capital goods的数量增加，能否有利于实现政府的政策目标。
2. 答题思路：政府的政策目标无非就是实现经济增长、降低失业率、稳定物价（inflation）等等。那么，购买更多的capital goods跟这些目标有什么关系呢？是否有利于实现政府的政策目标呢？
3. 凡是需要Discuss的题型答法都是一样的，我们要从正反两个方面去进行论证，最后再总结一下。具体我们来看看这道题的参考答案。
参考答案：
Increased spending on capital goods may or may not help to achieve the aims of government policy depending on several factors.
有利于实现政府的政策目标的理由
Increased spending on capital goods may increase efficiency of the production process and hence, increase productive capacity of the economy. This may lead to an out ward shift of the PPC and result in potential economic growth. Moreover, increas ed spending may be done to improve technology and reduce cost of production. Products may be of better quality and sold at lower prices for which international demand for it may go up. Rising export demand may improve the balance of payment situation of the economy. With the growing export market, more workers may be employed and hence, reducing the unemployment problem in economy. (Up to 5 marks)
不利于实现政府的政策目标的理由
However, they may contradict some government aims. Increased government spending on capital goods in the short run may increase aggregate demand, causing demand-pull inflation. Moreover, improved capital may be more efficient than labour. They may replace labour and result in unemployment in the economy. Furthermore, the capital goods may not actually be used, which means the output would remain unchanged. (Up to 5marks)
总结
Hence government have to consider all these factors and prioritise aims before taking the decision to increase spending on capital goods.
