SUBJECT AIM
Economics is a social science that is concerned with key issues facing us today, including globalisation, pollution and poverty. It is essentially about choice: why different people and groups of people, such as governments, have to make choices; the choices that they make, and the consequences of those choices. Economics teaches students to think logically and to use theories to understand how economies operate. It plays a huge role in our daily lives and you will be taught methods used by economists and how to understand issues such as inflation, unemployment, pollution, demand and supply, exchange rates, interest rates, and the difficult decisions governments face when they attempt to steer the economy in a chosen direction.
WHAT YOU WILL STUDY
STRUCTURE AND CONTENT OUTLINE- 8 Units over 2 Years
- The individual as a producer, consumer and borrower
- The private firm as a producer and employer
- Role of government in the economy
- Economic indicators
- Developed and developing economies: trends in production, population and living standards
- International aspects
- Basic economic problem
- The allocation of resources: how the market work; market failure
HOW WILL YOU BE ASSESSED
IGCSE Economics (A*-C)
| Paper 1 | Paper 2 |
Theory Multiple Choice 30Marks 45 Minutes 30% weighting | Structured Questions 90 Marks 2 hours 15 Minutes 70% weighting |
WHAT THIS SUBJECT CAN LEAD TO
PROGRESS FROM IGCSE
- A knowledge of Economics is an essential when doing IB Economics.
- At university, Economics can be studies as a BA, BComm, BEcon, BBA, MBA degrees
- In industry, Economists are hired in all areas of business, for example:
- Stock Markets
- International Law
- Banking and Finance
- Research and Statistical Analysis
- Academia (Lecturing and Teaching)
- International Trade
- Politics
- Diplomatic services
- Government Agencies
| THE LEARNING JOURNEY FOR ECONOMICS | ||||
| Unit / Block of work | Key Episodes / Questions | Additional Detail | Timeline | Learner Attribute(s) |
| 1 – The basic economic problem | 1. What is the economic problem? | Understand the economic problem | Sept – Oct | Reflective |
| Finite resources and unlimited wants | ||||
| Economic and free goods | ||||
| Knowledgeable | ||||
| 2. Why are the factors of production important in Economics? | Define the factors of production | |||
| Reward for the factors of production | ||||
| Mobility of factors of production | ||||
| Causes of changes in the quantity and quality of FOP | ||||
| 3. Why is it important for firms to understand Opportunity Cost? | Define opportunity cost | Thinker | ||
| Influence of opportunity cost on decision making | ||||
| Balanced | ||||
| 4. How does the Production Possibility Curve show the efficiency of an economy? | Define production possibility curve (PPC) | |||
| Draw & Interpret appropriate PPC diagrams | ||||
| Significance of the location of production points on PPC curve | ||||
| Causes and consequences of shifts and movements of the PPC | ||||
| 2- The allocation of resources | 5. What is the difference between Microeconomics and Macroeconomics? | Distinguish between microeconomics and macroeconomics | Principled | |
| Explain the decision makers involved in microeconomics and macroeconomics | ||||
| 6. What is the role of markets in allocating resources? | Define the market system | Oct – Dec | ||
| Resource allocation in a market system | ||||
| Price mechanism and allocation of resources | ||||
| 7. How is demand interpreted and why does it change? | Define demand | Communicator | ||
| Draw and interpret demand curves | ||||
| Explain movements along a demand curve | ||||
| Individual and market demand | ||||
| Causes of shifts in a demand curve | ||||
| 8. How is supply interpreted and why does it change? | Define supply | Inquirer | ||
| Draw and interpret supply diagrams | ||||
| Movements along a supply curve | ||||
| Individual and market supply | ||||
| Causes of shifts in a supply curve | ||||
| Open Minded | ||||
| 9. How is the price of a good/service determined? | Market equilibrium | |||
| Draw & interpret demand and supply curves to establish equilibrium | ||||
| Market disequilibrium | ||||
| Draw and interpret diagrams to show shortages (excess demand/excess supply) | ||||
| Risk Taker | ||||
| 10. Why do price changes and what is the impact on the economy? | Causes of price changes | |||
| consequences of price changes | ||||
| 11. Why is Price Elasticity of Demand (PED) so significant to economists? | Define and calculate PED | Caring | ||
| Draw and interpret demand curve to show different PED | ||||
| Determinants of PED | ||||
| Relationship between PED and total revenue | ||||
| Significance of PED for decision makers | ||||
| 12. Why is Price Elasticity of Supply (PES) so significant to economists? | Define and calculate PES | Jan – Feb | Reflective | |
| Draw and interpret supply curve to show different PES | ||||
| Determinants of PES | ||||
| Significance of PED for decision makers | ||||
| 13. How can we summarize the concept of Market Economic System? | Define market system | Knowledgeable | ||
| Advantages of the market economic system | ||||
| Disadvantages of the market economic system | ||||
| 14. Why does Market Failure occur and what is the impact on the economy? | Define concept of market failure | |||
| Causes of market failure | Thinker | |||
| consequences of market failure | ||||
| 15. How does the government intervene to solve/prevent market failure? | Define mixed economic system | |||
| Maximum and minimum prices | Balanced | |||
| Government intervention to address market failure | ||||
| 3 – Microeconomics | 16. What is the importance and role of money & banking? | Forms, functions and characteristics of money | Feb – Mar | Principled |
| Role and importance of central banks | ||||
| Role and importance of commercial banks | ||||
| 17. How are people influenced when spending and saving their money? | Factors that influence household spending, savings and borrowing | |||
| 18. Why are there different jobs & salaries in an economy? | Wage and non-wage factors affecting choice of occupation | April-May | Communicator | |
| Factors that determine wages | ||||
| Reasons for differences in earnings | ||||
| Advantages and disadvantages of specialization for workers, firms and economy | ||||
| 19. How do Trade Unions impact on an economy? | Define trade unions | Open Minded | ||
| Role of trade unions in the economy | ||||
| Advantages and disadvantages of trade union membership | ||||
| 20. Why do some business grow and others remain small? | Classification of firms | Caring | ||
| advantages and disadvantages of small firms | ||||
| Causes of growth of firms | ||||
| Advantages and disadvantages of different types of merger | ||||
| Economies and diseconomies of scale | ||||
| 21. How does technology impact on productivity? | What determines the demand for factors of production | Risk Taker | ||
| Advantages and disadvantages of labour intensive and capital intensive production | May-July | |||
| Influences on production and productivity | ||||
| 22. What are a Firms’ costs, revenue & objectives? | Define and calculate costs of production | Inquirer | ||
| Draw and interpret diagrams that show how changes in output affect costs of production | ||||
| Define revenue | ||||
| Total revenue and average revenue calculations | ||||
| THE LEARNING JOURNEY FOR ECONOMICS | |||||
| YR11 CAMBRIDGE iGCSE ECONOMICS | |||||
| Unit / Block of work | Key Episodes / Questions | Additional Detail | Colour Code | Timeline | Learner Attribute(s) |
| 3 – Microeconomics continued | 23. What are the different types of Market Structure? | Competitive markets | Sept – Oct | Reflective | |
| monopoly markets | |||||
| 4 – Government & Macro Economy | 24. What is the role of government in an economy? | Role of government at local, national and international level | Knowledgeable | ||
| 25. What macroeconomic aims does a government focus on? | Macroeconomic aims of government | ||||
| Reasons for choice of aims and criteria set for each aim | |||||
| Possible conflict between macroeconomic aims | |||||
| 26. What is the Fiscal policy and how is it implemented? | Define budget | Thinker | |||
| Reasons for government spending | |||||
| Reasons for taxation | |||||
| Classification of taxes | |||||
| Principle of taxation | |||||
| Impact of taxation on various stakeholders | |||||
| Fiscal policy | |||||
| Fiscal policy measures | |||||
| Effect of fiscal policy on macroeconomic aims | |||||
| 27. What is the Monetary policy and how is it implemented? | Define money supply | Oct – Dec | Principled | ||
| Define monetary policy | |||||
| Monetary policy measures | |||||
| Effects of monetary policy on macroeconomic aims | |||||
| 28. What is the impact Supply-side policy on the economy? | Define supply side policy | Communicator | |||
| Various supply side policy measures | |||||
| Effects of supply side policy measures on government macroeconomic aims | |||||
| 29. Why is Economic Growth important for an economy? | Define economic growth | Inquirer | |||
| Measuring economic growth – GDP and GDP per head | |||||
| Causes and consequences of recession | |||||
| Causes and consequences of economic growth | |||||
| Effectiveness of policies to promote economic growth | |||||
| 30. What is unemployment rate and why will is never be 0% in any economy? | Define employment, unemployment and full employment | Open Minded | |||
| Changing patterns and level of employment | |||||
| Measuring unemployment | |||||
| Causes and types of unemployment | |||||
| Consequences of unemployment | |||||
| Policies to reduce unemployment | |||||
| Risk Taker | |||||
| 31. Why is inflation and deflation a reoccurring event in any economy? | Inflation and deflation | Jan – Feb | |||
| Measuring inflation and deflation using CPI | |||||
| Causes of inflation and deflation | |||||
| Consequences of inflation and deflation | |||||
| Policies to control inflation and deflation | |||||
| 5 – Economic Development | 32. How are Living standards measured any why are they important to economists? | Indicators of living standards | Caring | ||
| Components of real GDP and the HDI | |||||
| Advantages and disadvantages of real GDP and HDO as measures of living standards | |||||
| Comparing living standards and income distribution | |||||
| Reasons for differences in living standards and income distribution within and between countries | |||||
| Reflective | |||||
| 33. Why is there different levels of poverty in different areas of the same country & globally? | Absolute and relative poverty | ||||
| Causes of poverty | |||||
| Policies to alleviate poverty and redistribute income | |||||
| Knowledgeable | |||||
| 34. Why are there different population growth rates in different countries? | Factors that affect population growth | ||||
| Reasons for the different rates of population growth in different countries | Feb-March | ||||
| Effects of changes in the size & structure of population in different countries | |||||
| 35. Why are different economies at different levels of economic development? | Causes and impacts of differences in economic development between countries | ||||
| 6 – International Trade & Globalization | 36. What is meant by International specialization? | Specialization at national level | Thinker | ||
| Advantages and disadvantages of specialization at a national level | |||||
| 37. Why is free trade and economy protection important in global economy? | Define globalization | Balanced | |||
| Role of MNCs | |||||
| Benefits of free trade for consumers, producers and the economy | |||||
| Methods of protection | |||||
| Reasons for protection | |||||
| Consequences of protection | |||||
| 38. Why do Foreign exchange rates exist? | Define foreign exchange rates | March – April | Principled | ||
| Determination of foreign exchange rates | |||||
| Causes of foreign exchange rate fluctuations | |||||
| Consequences of foreign rate fluctuations | |||||
| Floating and Fixed foreign exchange rate systems | |||||
| Open Minded | |||||
| 39. What causes imports and exports to fluctuate in an economy? | Structure of the current account of the balance of payments | ||||
| Causes of current account deficit and surplus | |||||
| Consequences of current account deficit and surplus | |||||
| Policies to achieve balance of payments stability. | |||||