Economics

=Economics in the IB Diploma Programme = = = Economics is a dynamic social science which is essentially about the concept of scarcity and the problem of resource allocation. Economic theories are used to understand many real-world situations and to solve world problems. Economics therefore has an important role in play in promoting international cooperation and understanding. There are many career paths that involve Economics. It is also useful in the study of law, political science, business and many other disciplines. Even if one never uses it professionally, it enables individuals to understand what is happening day to day in our complex world.

Economics requires the ability to relate an understanding of economic theory to real life situations. The subject involves strong skills in evaluation and analysis and HL students must show good mathematical skills. The ability to draw neat diagrams to illustrate economic theory is an important skill. The Internal Assessment Commentaries involve reading newspapers and journals and keeping up to date with economic news.
 * Course Requirements**: Economics is an important prerequisite for students wishing to study Economics and Business at university.

Standard and Higher Levels
Standard Level students study Micro and Macro economics (Grade 11) and International and Development economics (Grade 12). HL students do extension topics in these areas and an extra theoretical topic, the "Theory of the Firm" which requires mathematical skills. Both SL and HL do the same Internal Assessment.

Topics Studied
Section 1:  Introduction to Economics  Section 2: Microeconomics ·  Markets ·  Elasticity ·  Market failure //HL Extension:Flat rate and ad valorum taxes // // Incidence of indirect taxes and subsidies // // Implications of elasticity of S &D // // The Theory of the Firm // Section 3: Macroeconomics ·  Measuring national income <span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">Introduction to Development <span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">Macroeconomic models <span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">Demand-side and supply-side policies <span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">Unemployment and inflation <span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">Distribution of income <span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">

//<span style="COLOR: red; FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">HL Extension: ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> Multiplier and Accelerator // //<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> Methods of Measuring inflation and problems // //<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> Phillips curve, SR & LR // //<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> Natural Rate of Unemployment // //<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> Non-Accelerating Inflation Rate of Unemployment // //<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> Laffer curve // //<span style="FONT-SIZE: 12pt; FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA">Lorenz curve and gini coefficient // <span style="COLOR: blue; FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">Section 4: International Economics ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">Reasons for Trade <span style="FONT-FAMILY: 'Arial','sans-serif'"> Free trade and protectionism ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">World Trade Organization (WTO  ·   <span style="FONT-FAMILY: 'Arial','sans-serif'">Balance of Payments and problems  ·   <span style="FONT-FAMILY: 'Arial','sans-serif'">Exchange Rates  ·   <span style="FONT-FAMILY: 'Arial','sans-serif'">Terms of Trade <span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> //<span style="COLOR: red; FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">HL Extension: ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">  Absolute and comparative advantages ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">Opportunity ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial"> cost; limitations of comparative adv ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">Trade creation and trade diversion ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">Obstacles to achieving integration ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">Marshall-Lerner condition, ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">J-curve ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">Measurement of terms of trade ////<span style="FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">Causes of changes in terms of trade (SR & LR) // //<span style="FONT-SIZE: 12pt; FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA">Elasticity of Demand for imports and exports // <span style="COLOR: blue; FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial">Section 5: Development Economic ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">Sources of economic growth and/or development ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">Consequences of growth ·  <span style="FONT-FAMILY: 'Arial','sans-serif'">Barriers to economic growth and development <span style="FONT-SIZE: 12pt; FONT-FAMILY: 'Arial','sans-serif'; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA"> Growth and development strategies and evaluation <span style="FONT-SIZE: 12pt; FONT-FAMILY: 'Arial Black','sans-serif'; mso-bidi-font-family: Arial; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA">

__<span style="FONT-SIZE: 110%; COLOR: rgb(163,10,10)">Essential Resources __
Main Texts: -Economics Course Companion, Blink and Dorton Essentials in Economics, Sloman Economics, Anderton

<span style="FONT-SIZE: 14pt; FONT-FAMILY: 'LydianMT','sans-serif'; mso-bidi-font-family: LydianMT"> Written Papers :
<span style="FONT-SIZE: 14pt; FONT-FAMILY: 'LydianMT','sans-serif'; mso-bidi-font-family: LydianMT"><span style="FONT-SIZE: 14pt; FONT-FAMILY: 'LydianMT','sans-serif'; mso-bidi-font-family: LydianMT">  Paper 1 1 hour 20% This paper consists of four extended-response questions based on all five  sections of the syllabus. Each question is divided into two parts and may  relate to more than one section of the syllabus. Candidates must attempt one question. <span style="FONT-SIZE: 14pt; FONT-FAMILY: 'LydianMT','sans-serif'; mso-bidi-font-family: LydianMT">Paper 2 1 hour 20% A short-answer question paper based on all five sections of the syllabus. The paper consists of six questions. Candidates must attempt three questions.

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<span style="FONT-SIZE: 14pt; FONT-FAMILY: 'LydianMT','sans-serif'; mso-bidi-font-family: LydianMT"> A data-response paper based on all five sections of the syllabus. The paper consists of five structured questions based on all five sections  of the syllabus. Candidates must attempt three questions. ====== =  <span style="FONT-SIZE: 18.5pt; FONT-FAMILY: 'LydianMT','sans-serif'; mso-bidi-font-family: LydianMT">Internal assessment 20%    Candidates produce a portfolio of four commentaries. <span style="FONT-SIZE: 10pt; FONT-FAMILY: 'LydianMT','sans-serif'; mso-bidi-font-family: LydianMT">     = = STANDARD LEVEL:External assessment 75% Written papers 3 hours  =

Paper 1 1 hour 25%
This paper consists of four extended-response questions based on all fivesections of the syllabus. Each question is divided into two parts and mayrelate to more than one section of the syllabus.Candidates must attempt one question.

**Paper 2** 2 hours 50%
A data-response question paper based on all five sections of the syllabus.The paper consists of five structured questions based on all five sections ofthe syllabus.Candidates must attempt three questions.

**Internal Assessment 25%**
Candidates produce a portfolio of four commentaries.

ASSESSMENT FOR BIS GRADES:
** Student progress during the course will be assessed through: ** ** ||< **  EXCELLENT ** ||= **  100-85   ** ||   ** ||< **   VERY GOOD ** ||= **  84-70   ** ||   ** ||< **   GOOD ** ||= **  69-55   ** ||   ** ||< **   SATISFACTORY ** ||= **  54-40   ** ||   ** ||< **   BELOW SATISFACTORY ** ||= **  39-25   ** ||   ** ||< **   POOR ** ||= **  24-10   ** ||   ** ||< **   UNACCEPTABLE ** ||= **   9-0    ** ||
 * **Unit tests and quizzes**
 * **Study Guides - note taking and organisational skills**
 * **Ability to draw neat and well labelled diagrams.**
 * **Data Response questions connecting economic theory to real world situations**
 * **Commentaries (4) for IA. Linking theory to practice**
 * **Analysis and evaluation**
 * **Discussion leaders**
 * ** Class participation  **
 * __GRADE BOUNDARIES:__**
 * = **  7
 * = **  6
 * = **  5
 * = **  4
 * = **  3
 * = **  2
 * = **  1

<span style="COLOR: rgb(71,11,122)">Pre-Diploma Course (Grade 10 preparation)
Skills in evaluation, analysis and synthesis of information are important skills to be developed throughout Middle School and Grades 9 &10. The Global Issues course in Grade 9 provides a solid foundation for the Development Economics section of the curriculum. Encouraging students to keep up to date with current issues and read newspapers and magazines is important.

<span style="FONT-SIZE: 120%; COLOR: rgb(147,11,11)">Semester 1 Content (Grade 11)
Section 1: Introduction to Economics Section 2: Micro Economics

<span style="FONT-SIZE: 120%; COLOR: rgb(147,11,11)">Semester 2 Content (Grade 11)
Section 3: Macro Economics
 * Equilibrium level of Income
 * Inflation
 * Unemployment

<span style="FONT-SIZE: 120%; COLOR: rgb(147,11,11)">Semester 3 Content (Grade 12)
Section 4: International Economics

<span style="FONT-SIZE: 120%; COLOR: rgb(147,11,11)">Semester 4 Content (Grade 12)
Section 5: Development Economics Mock exams Revision for final exam.