| AS |
Markets and Society This starts with the basic ideas of economics, scarcity, choice and opportunity cost. We then look at how the forces of demand and supply operate in markets. We examine how prices are determined and how they react to changes such as increases in incomes or higher costs of production. We consider how governments intervene in markets to encourage or discourage the production of particular goods and alter the distribution of incomes between people. Macroeconomic Theory and Policy. We start with gaining an understanding of what determines the overall level of output in an economy by looking at demand arising from consumption, investment, government spending and exports. This total demand together with the nation’s ability to supply will affect employment levels and inflation. You will learn about the government’s policy objectives, such as low unemployment, low inflation and sustainable growth and why some of these aims conflict. We will examine the role of taxation and government spending in attaining these objectives. You will gain an understanding of interest rates, how they are set and their impact on the economy. You will learn about the pattern of international trade and why many nations try to protect their firms from foreign competition. |
Compulsory short-answer questions
Compulsory data response question and two essays.
|
20%
30%
|
| A2 |
Competition and Competitive Behaviour. This examines the objectives of businesses and particularly the implications of seeking to maximise profit. (Obviously there will be some overlap with Business Management.) You will look at the determination of costs and business revenues and how they will determine output. The concept of efficiency is discussed together with the impact of monopolies and mergers on the economy. You will learn about how the government seeks to encourage competition and discuss the advantages and disadvantages of privatisation. Macroeconomic Issues and The Global Economy. You will learn the definitions of unemployment and inflation, how they are measured and their impact on society. You will study the factors which determine the growth of an economy and look at the costs and benefits of this process. You will examine in some detail the theory underlying international trade, the work of the World Trade Organisation, the structure of the balance of payments accounts and measures which can be taken to curb excessive imports. You will gain an understanding of the operation of the European Union and discuss Economic and Monetary Union. You will examine the processes of economic development, why many nations have found such difficulty in developing and strategies which may be followed to ease these problems. |
Short-answer questions and one essay.
A data-response question and one essay.
|
25%
25%
|
College Prospectus 2010
