IB Economics Paper 3 includes two compulsory questions. This is a sample Paper 3 question. The time allowed for Paper 3 is 105 minutes, so students should spend 52.5 minutes on each question. This Paper 3 style question is on indirect tax, PED, maximum price and subsidies. a. Define the following terms:i. subsidy [2 marks]A direct or indirect payment to firms with the aim of reducing production costs and raising production...