ECON211 Past Papers & Practice Exams
Practice exam sets for ECON211 Macroeconomics (NWU). Covers all six chapters tested in the June first-opportunity paper: Chapter 1, Chapter 2A, Chapter 2B, Chapter 3, Chapter 4, Chapter 6.
Access NWU Official Past Papers
NWU past papers are available through eFundi (the NWU learning management system) and the NWU Library portal.
Go to efundi.nwu.ac.za and sign in with your NWU student credentials. Navigate to the ECON211 course site. Your lecturer (Dr. Khwazi Magubane) typically posts past papers under the Resources or Past Assessments section.
The NWU Library hosts past exam papers at library.nwu.ac.za. Search for ECON211 under the Past Exam Papers section. Papers from 2018–2024 are typically available. You will need your NWU library card or student login.
If past papers are not posted on eFundi, email Dr. Magubane directly or ask during tutorial sessions. NWU lecturers are generally willing to share previous June and November papers, especially for first-opportunity preparation.
June Exam Paper Structure
Understanding the format helps you plan your time. Total: 150 marks, 3 hours.
Each question has one correct answer. Eliminate obviously wrong options first.
Full marks require both the True/False answer AND a complete explanation.
Always state PE and SE separately. SE must be in opposite direction to PE but smaller.
Label all axes, curves (IS₀, IS₁, LM₀, LM₁), equilibrium points (E₀, E₁), and shift arrows.
Show all working. A correct method with arithmetic error still earns partial marks.
Use IS-LM or AD-AS framework explicitly. Integrate chain reaction method.
Practice Paper 1 — Foundations (Chapters 1, 2A, 2B)
Covers GDP, business cycles, Keynesian model, money market. Approximately 75 marks.
Chapter 1
Free previewQ1. Which of the following is NOT one of SA's five macroeconomic policy objectives?
- Price stability within the SARB's 3–6% band
- Maximum government revenue collection
- Balance of Payments equilibrium
- Equitable income distribution
Show answer & explanation
SA's objectives are price stability, economic growth, full employment, BoP equilibrium, and equitable income distribution. Maximising revenue is not a macroeconomic objective — it is a fiscal consideration.
Q2. True or False: Government transfer payments (e.g., social grants) are included in the G component of the expenditure approach to GDP.
- True
- False
Show answer & explanation
G in Y = C + I + G + (X−M) represents government spending on goods and services only. Transfer payments (grants, pensions, subsidies) are excluded because they involve no production of goods or services — they simply redistribute income.
Q3. In the chain reaction method, the Secondary Effect (SE) is best described as:
- Always equal to and in the same direction as the Primary Effect
- Always opposite to the Primary Effect but smaller in magnitude
- Always larger than the Primary Effect
- The same as the Primary Effect but delayed by one period
Show answer & explanation
The SE always works opposite to the PE. If the PE raises Y, the SE reduces Y (partially). The SE is always smaller than the PE — which is why the net effect remains in the same direction as the PE.
Q4. Calculate Real GDP given: Nominal GDP = R2 000 billion; Price level index = 125 (base year = 100).
- Real GDP = R1 600 billion
- Real GDP = R2 000 billion
- Real GDP = R2 500 billion
- Real GDP = R1 000 billion
Show answer & explanation
Real GDP = Nominal GDP ÷ (P/100) = 2 000 ÷ 1.25 = R1 600 billion. The price level of 125 means prices are 25% higher than the base year — dividing removes this inflation component.