Get Summer 2014 Right First Time with tutor2u Exam Coaching & Revision Workshops
Here are ten revision questions covering income elasticity and cross price elasticity of demandread more...»
Here are ten multiple choice revision questions covering the topic market demand and market supplyread more...»
Here are ten multiple choice revision questions covering the topic business objectivesread more...»
Here are ten multiple choice revision questions covering the topic contestable marketsread more...»
Here are ten multiple choice revision questions covering the topic economic efficiencyread more...»
We have spent a little time in our A2 economics lessons this week looking at some of the challenges facing the Indian economy. Growth is slowing, inflation is persistently high, interest rates are rising and the Indian current account deficit on the balance of payments is widening. The economy faces many challenges and pressures for better government and structural economic reform are growing. I have linked below to some of the charts we used in our discussions and note-taking.read more...»
Here are ten questions for students wanting to check their understanding on markets in actionread more...»
Here is an updated revision presentation on satisficing as an alternative to profit maximisation and also some of the factors affecting the profitability of a business such as Stagecoach plc - A2 economics revision notes can be found hereread more...»
It was announced yesterday that the Government is planning to abandon its use of expensive software such as Microsoft Office (see article in the Guardian here) partly as a way of reducing costs but also as a means of breaking some of the software company's 'oligopolistic' stranglehold on the market.
As well as offering an example of Government policy to combat market failure, this story gives us a little insight into the issue of contestability in the software industry.read more...»
Here is a short video on the challenges and opportunities facing cocoa producers across the world but especially in sub Saharan Africa which accounts for 70% of global production. Supply is struggling to keep pace with rising world demand and there have been some structural declines in production in several countries.
The FT's Emiko Terazono reports from Ghana on how chocolate manufacturers and traders are striving to boost cocoa supplies, which are coming under pressure from climate change and urbanisation amid growing demand for confectionery in emerging markets. Farmers are being encouraged to develop supplementary incomes and invest in sustainable production methods.read more...»
So farewell, then, Facebook! That is the conclusion of a highly technical paper by two Princeton researchers, John Cannarella and Joshua Spechler, which received a lot of publicity in the press last week. The authors conclude that “Facebook will undergo a rapid decline in the coming years, losing 80 per cent of its peak user base between 2015 and 2017”.read more...»
Much has been made of Latvia's internal devaluation, so much so that it has featured in OCR's Global Economy pre release. Most commentators have reacted negatively to the effect of Latvia's internal devaluation; here's why:read more...»
Here are ten questions for students wanting to check their understanding on government intervention in marketsread more...»
Here is an updated revision presentation on short run revenues and profits for businesses - A2 economics revision notes can be found hereread more...»
In this short interview from the Financial Times, John Authers discusses with Roger Bootle, managing director of Capital Economics about the sources of the resurgence in growth in the UK economy. Bootle argues that there is little sign of economic re-balancing, consumption is the main driver of recovery and net exports are subtracting from growth at the moment.
The current account deficit is widening - Bootle find this a deeply depressing shift and hints that the UK economy remains heavily dependent on exporting to weak-growing European markets.read more...»
Here are ten questions for students wanting to check their understanding on economic growthread more...»
Here is an updated revision presentation on short run costs for businesses - A2 economics revision notes can be found hereread more...»
New data on the UK economy shows another quarter of above trend growth. Here is an updated six chart presentation on the economic cycle that might be useful for teaching macro in the classroom. Download as a powerpoint fileread more...»
Here are ten questions for students wanting to check their understanding on managing the economyread more...»
Here is an updated revision presentation on fixed and variable costs for businesses - A2 economics revision notes can be found hereread more...»
A growing number of teachers are contributing relevant tweets supporting their focus on the June 2014 OCR F585 paper. I find this a great way of tracking interesting articles relevant to the pre-release case study materials. Here is the link to follow
My A2 macro students are now looking at some fascinating macro policy challenges facing a range of countries. This week they choose one from two set assignments.
The first offers them an opportunity to analyse some of the causes of high inflation in India and consider how much of a threat it is to India's continued growth and development.
A second assignment looks at Abenomics in Japan and whether it can lift the Japanese economy out of over two decades of slow growth and deflationary pressures. I am hoping that there will be some interesting insights allied to good A2 macro analysis as students crack on with their independent research.
Download the assignment sheet below and I have added in some suggestions for further reading on the two topicsread more...»
Here is a quick revision quiz on the economics of unemployment! Good luck!read more...»
Geoff's superb support resource for OCR F585 June 2014 is now ready. We have just sent out the resource to all the teaching colleagues who kindly pre-ordered the F585 toolkit. Apologies for the delay in sending it out (a couple of weeks later than planned). But, when you see the resource I'm sure you'll feel it was worth the extra few days. The F585 June 2014 is a real tour-de-force,providing unrivalled commentary and analysis for students as they work their way through the exhibits in the stimulus material.read more...»
Notes from a talk given by Ricardo Fuentes-Nieva (Head of Research at Oxfam) at the Marshall Society Economics Conference in Cambridge in January 2014read more...»
Notes taken from the Marshall Society Economics Conference - this panel session focused on growth and development issues in South Korea and sub Saharan Africaread more...»
Here are some notes taken from a talk given by Peter Coy, Economics Editor for Bloomberg Businessweek, at the Marshall Society Economics Conference in Cambridge in January 2015read more...»
Notes from a talk given by Liu Xiaoming, Chinese ambassador to the UK at the Marshall Society economics conference in Cambridge in January 2014.read more...»
Inside Story from Al Jazeerah considers whether the worst is now over for some of the cluster of Euro Area countries who have received huge bail-outs accompanied by fiscal austerity measures. The Spanish economy seems to be moving tentatively towards a stronger rebound despite persistently high mass unemployment.read more...»
Capping seems to be all the rage at the moment. We read of capping electricity and gas prices, capping welfare payments for families ... and now a proposed cap on bonuses for bankers is being put forward by the EU and by the Labour Party.
In this article, Tim Harford cuts to the chase and highlights the contradictions in the EU blanket policy on capping bankers' bonuses. It is a good example of a policy where the unintended consequences include the probably that banking salaries would rise still further.
Under the EU proposal, a cap on rewards would limit payouts to banking executives to annual pay - or twice that only if shareholders approve.
BBC Hard Talk: Adair Turner on the effect of a bonus cap on bank salariesread more...»
Successful innovation is a driving dynamic of competitive businesses and countries. Bloomberg Rankings recently examined 215 countries and sovereign regions to determine their innovation quotient. They have narrowed this down to thirty countries and the results are available through this Bloomberg slideshow. Which nation comes first?read more...»
Saudi Arabia’s position as one of the largest players in the global oil market, producing more than a tenth of the world’s output and owning a quarter of the world’s proven reserves, has negative effects on other market participants. Writing in the Economic Journal, Anton Nakov and Galo Nuño document two features that have made the Kingdom different from other oil producers:read more...»
Here are ten questions for students wanting to check their understanding on supply-side economic policies .... and improve their bobble shoot tekkers at the same time! Courtesy of our sister site Zondleread more...»
Here are some news clips on the sharp fall in measured unemployment and a record rise in employment in the UK economy at the end of 2013. Students can find revision notes on unemployment using this linkread more...»
It was no surprise when the latest release of unemployment and employment data for the UK labour market up to the end of 2013 made headline news across the media. There was a dramatic decline in the labour force survey measure of unemployment and news of a record level of employment.
Many teachers will be covering unemployment as part of their AS macro course - I have put together six updated charts into a PowerPoint file for those who want to integrate the data charts into their teaching. Download using the link below:
PowerPoint file on Unemployment
The concept of the’ output gap’ is central to mainstream macroeconomics. It is not merely of academic interest. The Office for Budget Responsibility (OBR) has a specific requirement to estimate the output gap, which it defines formally as “the difference between the current level of activity in the economy and the potential level it could sustain while keeping inflation stable”. The output gap is a key consideration for central banks around the world. If output is well below its potential, interest rates should be kept low, to try to stimulate the economy. And a large output gap should keep inflation low. Prices are hard to put up in a depressed economy.read more...»
On the 1st January 2014, Latvia became the 18th country to enter the single currency Euro area, joining Estonia who adopted the Euro four years ago. How will it affect the economy? Are the forecast benefits greater than the costs and risks? Here are some resources on the issue:read more...»
We have been discussing the economics of innovation in class in the last few days. I came across this short talk given by David Rowan, editor of Wired magazine. What sets disruptive entrepreneurs and innovators apart from the rest? In his INK talk, David Rowan, editor of Wired UK, asserts it’s a “healthy disregard for the impossible” and offers nine tips for cultivating that mindset.read more...»
What type of business integration is happening here? The announcement of Google's takeover of smart home-appliance maker Nest for $3.2bn is potentially hugely significant for Google.read more...»
This resource from The Guardian could offer students an excellent way of considering the negative social consequences of civil war and internal conflict.read more...»
The coming year looks like it will be a good one. At the start of each of the past five years, the economic scales have been tilted down, and the challenge has been to look for factors which might have tipped them back up. This year, the balance is reversed. The onus lies with the pessimists to prove their case. Not that there are any shortages on this score. For example, King Canute of Twickenham, aka Vince Cable, has solemnly commanded that house prices must stop rising, for fear of a new bubble.read more...»
Here are 12 questions (type the answer) on aspects of market structures for unit 3 economicsread more...»
Proposing Government intervention strategies for dealing with externality market failure is a common enough exam question. Many of my students will concentrate on the use of indirect taxation, subsidies, pollution permits or regulation as a method of reducing consumption - often forgetting that the Government can use good, old-fashioned advice as a way of altering purchasing patterns.read more...»
An important landmark has been reached in the construction of Crossrail, London's £14.8bn rail programme. The tunnelling of 21km of twin-bore tunnels dug beneath the capital is well underway and the project is now at the half way stage assuming things run to plan. The first tunnel was completed in November 2013.
The scale of the project is epic - one of a number of infrastructure projects that are underway or in the planning stage in the UK. the importance of infrastructure investment is often debated by economists. They can affect both aggregate demand and aggregate supply and have wider effects on a nation's competitiveness.read more...»
This short you tube clip published by the World Bank looks at some salient facts and figures on the extent of extreme poverty in the world
The extreme poor live on less the US$1.25 a day. Many lack basic sanitation and clean drinking water; they're malnourished and suffer from lack of education. The facts speak volumesread more...»
Do consumers of carbonated soft drinks really know how much sugar is in their regular fix? This five minute Newsnight clip is ideal for showing when teaching aspects of the economics of information failure. Will "getting the information in people's hands" help them to adjust their lifestyles? What are the economic arguments for and against direct intervention in the market for carbonated drinks such as a tax on high sugar content products? What are the alternative options or should we simply let consumers make their own choices?read more...»
One for the A2 macro students! As 2013 drew to a close, Newsnight assembled a dream team of economists and economic commentators to pick their favourite graph of 2013, the one that they thought told the most compelling story of the underlying health of the UK and world economyread more...»
Here are some examples of changes in the nature of non-price competition in the oligopolistic supermarket industry. The success of the My Waitrose card (now used by 3 million customers) has catapulted Waitrose into 2nd place for the largest retailer of hot tea and coffee drinks in the UK. They are now second only to McDonald's and some distance ahead of Costa, Starbucks and other well-known high street brands.read more...»
Here is a selection of development storiesposted in the Guardian global development blog during the last year. Many of them are relevant for students wanting to extend and enrich their awareness for A2 macro papers.
Volume car production has been surging in recent years in many Eastern European countries - this FT news video provides some of the background and offers some revealing insights into the complex sources of competitive advantage in a key industrial sector.
The vehicles that roll off the production line at the Czech company's state-of-the-art car plant near Prague now outstrip many western rivals not only on cost but on reliability and finish too.read more...»