Economics Curriculum 2

Benjamin Franklin once observed that there are two certainties in life:- ‘death and taxes’.

Economics touches our lives in all sorts of ways and it would be difficult to watch a news bulletin or read a newspaper without reflecting on the impact of economics on ourselves and the society in which we live. Economics is a live subject which relates to current context and among the issues which I would expect to examine in the course would cover topics such as:-

• The impact of higher interest rates on the economy and the reasons for the rise
• The consequences of the industrialisation of India and China
• The reasons for the high oil price and the prospects for future commodity price rises
• Why City bonuses are so high
• Why tuition fees were introduced for higher education
• Why the pound sterling is so strong and why it matters

As a subject Economics thrives on digital media. For an excellent insight into the subject would be students are encouraged to visit two excellent web sites:-
www.tutor2u.net
www.bized.ac.uk

The structure of the course

At AS, the course is structured such that one teacher delivers units 1 & 2. Tese units cover microeconomics. In unit 1, you will have the opportunity to examine how markets work and allocate resources. You will learn about how supply and demand interact and how to apply simple concepts such as elasticity of demand. In unit 2, you will learn about how markets sometimes fail and how such failures can be corrected through government intervention. You will also investigate how government intervention may also lead to unintended consequences. All of this theoretical approach is tested out with reference to actual context. Applied economics examines how well economic theory works in the real world.

Alongside units 1 & 2, students study macroeconomics in module 3. This module gives students an insight into the big picture of the economy and how it all fits together. Using economic modelling we are able to show how policy changes affect society. It is also possible to examine how an improvement in one area is often at the expense of something else.

At A2, students study further modules in:-
Labour Markets
Product Markets
Macroeconomics

Skills

Economics is a skills rich subject and students taking this subject should develop a skills set which includes:-

• Problem solving
• Logical deduction
• Data processing and analysis
• Analytical thinking
• Conceptual understanding
• Application of theoretical ideas

The subject fits in well with other social sciences and with mathematics. The subject is challenging but very satisfying and rewards the intellectually curious.