Economics · 2004 · May · Paper 3 · HL · Question paper

ECONOMICS HIGHER LEVEL PAPER 3 Friday 21 May 2004 (morning) 2 hours M04/330/H(3) c IB DIPLOMA PROGRAMME PROGRAMME DU DIPLÔME DU BI PROGRAMA DEL DIPLOMA DEL BI 224-036 7 pages INSTRUCTIONS TO CANDIDATES /circle4Do not open this examination paper until instructed to do so. /circle4Section A: answer one question. /circle4Section B: answer one question. /circle4Use diagrams and real-world examples where appropriate.. SECTION A Answer one question from this section. Either Question 1 Read the passage below and answer all the parts of the question that follow. PASSION, PRIDE AND PROFIT /onesansinvFootball (or soccer) remains the most widely played and followed sport in the world. Sports administrators like to debate which event draws the bigger audiences, the World Cup or the Olympics. In truth, nobody knows how many people watch either event on television. /twosansinvAny event that can attract the attention of billions of people would surely earn huge amounts of money. Certainly there is an ever-increasing amount of money going into the game. The television rights for the 2002 and 2006 World Cups were sold for $1.7 billion, an eight fold increase on the deal covering the previous three championships. The football industry worldwide is worth about $216 billion. /threesansinvThe big money in international football is concentrated in the elite European clubs, but some of them are suffering serious losses. The English Premier League is widely regarded as admirably businesslike, yet almost all English Premier League clubs will lose money this year. /foursansinvSome of Europe’s difficulties can be explained by technological and