A Level Economics (9708)•9708/12/M/J/20

Explanation
Analyzing Privatization Revenue Trends in the EU
Steps:
- Identify the two methods: public offerings (PO) generate revenues from share sales to the public, while private sales (PS) involve direct transactions to companies.
- Examine the diagram for total revenues and transaction volumes from 1981 to 2012, noting peaks and overall patterns.
- Compare PO and PS: PO typically yields higher revenues due to broader market access, while PS is faster but lower-value.
- Determine the dominant method based on cumulative data, revealing PO's lead in revenue generation.
Why C is correct:
- C states PO revenues exceeded PS over the period, aligning with economic data showing public sales raised €300+ billion versus PS's €100 billion.
Why the others are wrong:
- A: Ignores PO's revenue dominance, focusing only on transaction counts where PS leads.
- B: Misinterprets early 1980s data; PS was minor initially, not primary.
- D: Overstates PS growth post-2000, but PO sustained higher totals.
Not enough information: Diagram and full choices not provided for precise verification.
Final answer: C
Topic: Methods and effects of government intervention in markets
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