ExamTeXThis free IB Economics Paper 1 practice exam follows the 2022 syllabus: three extended-response questions, one each on microeconomics (indirect taxes and elasticity), macroeconomics (monetary policy and inflation) and the global economy (tariffs and protectionism). Each question has a 10-mark part (a), which rewards a definition, a fully labelled diagram and a clear chain of reasoning, and a 15-mark part (b), which rewards real-world examples and a justified evaluation. Sit one question in 75 minutes as in the real paper, then mark yourself against the answer key, which is written as examiners write theirs: indicative content, evaluation skeletons and level descriptors. View it online below or download the print-ready PDF; no account needed.
- Question 125 marks · Indirect taxes, price elasticity of demand, market failureQuestion 1 — Microeconomics: indirect taxes and elasticity.(a)[10]Explain how the price elasticity of demand for a good determines the effect of an indirect tax on the market for that good.(b)[15]Using real-world examples, evaluate the view that indirect taxes are the most effective way for a government to reduce the consumption of demerit goods.
- Question 225 marks · Monetary policy, inflation, AD–AS, policy effectivenessQuestion 2 — Macroeconomics: monetary policy and inflation.(a)[10]Explain how a central bank can use monetary policy to reduce demand-pull inflation.(b)[15]Using real-world examples, discuss the effectiveness of monetary policy in achieving low and stable inflation.
- Question 325 marks · International trade, tariffs, protectionism, welfare analysisQuestion 3 — The global economy: tariffs and protectionism.(a)[10]Explain, using a diagram, the effects of a tariff on the domestic market for an imported good.(b)[15]Using real-world examples, evaluate the arguments for and against a government adopting protectionist policies.
IB Economics Paper 1 exam tips
- Part (a) is define–diagram–explain. Define every key term in the question, draw a fully labelled diagram (axes, curves, original and new equilibria, arrows on the shift), and then explain the mechanism in words that refer to the diagram. A correct diagram with no explanation caps at the middle levels.
- Part (b) lives or dies on real-world examples. "A country that imposed a sugar tax" earns nothing; "Mexico's 2014 peso-per-litre soda tax, after which purchases fell about 6% in the first year" earns marks. Prepare two or three named, dated examples per syllabus unit before the exam.
- Evaluation means weighing, not listing. For each argument ask: how big is the effect, over what time frame, for whom (stakeholders), and under what assumptions? Then commit to a judgement that answers the exact question set.
- Budget the 75 minutes: about 5 minutes to choose and plan, 25 minutes for part (a) and 40 minutes for part (b), leaving 5 minutes to check that every diagram is labelled and your conclusion answers the question.
Frequently asked questions
Is this IB Economics Paper 1 practice exam really free?
Yes — all three questions, the mark-scheme-style answers, and both PDFs are free with no signup. ExamTeX makes money from its exam generator, which turns your own class notes into practice exams like this one.
How closely does this match the real IB Economics Paper 1?
The 2022-syllabus Paper 1 gives you three questions and asks you to answer one, in two parts: (a) 10 marks and (b) 15 marks, in 1 hour 15 minutes, for both SL and HL. This paper reproduces that structure exactly, with one question drawn from each of the microeconomics, macroeconomics and global economy units, so you can sit it under real timed conditions.
Is this for SL or HL students?
Both. Paper 1 is common to SL and HL, and none of these questions relies on HL-only content. HL students may want to add HL extension points (for example, the theory of the firm or the terms of trade) in part (b) where relevant.
Does the PDF include the mark scheme?
There are two PDFs: a clean question paper for sitting under timed conditions, and a version with the full answer key appended — indicative content for part (a), evaluation skeletons and real-world examples for part (b), and the level descriptors examiners use — so you can mark yourself realistically.
Can I generate more Paper 1 questions like these?
Yes — upload your own class notes, textbook chapters or past papers to ExamTeX and it generates a print-ready practice exam in the same essay format in about 60 seconds, with an answer key. The free tier includes 5 exams per month.