Sunday, September 26, 2010

Unit 1: Cuba moves towards a mixed economy

Thanks to tutor2u for this summary of the changes afoot in Cuba (Use the hyperlinks)

a) Explain how the plans mean Cuba's economy will become more like the mixed model

Unit 1: The end of cheap cotton clothes?

An interesting article and video from Sky news suggesting the price of cotton clothes is set to rise

a) Using a S&D diagram, explain why the price of cotton clothes is due to rise
b) Comment on the staement that low price chains such as Primark may be hit disproportionatelt by this rise in the price of cotton

Saturday, September 18, 2010

Wednesday, September 15, 2010

Unit 2: How to alter your exchange rate

This BBC clip explains how the Japanese cental bank intervened in the market to force down the value of the Yen

a) Why did the central bank intervene?
b) Using a S&D diagram, explain how they manipulated the value of the Yen downwards (ie a depreciation)

Tuesday, September 14, 2010

Wednesday, September 08, 2010

Unit 2: The shrinking Greek economy

A useful article from the BBC explaining the shrinking Greek economy

a) Using the Aggregate demand formula, explain why the Greece's GDP is falling

Monday, September 06, 2010

Unit 1: The price of wheat

The drought continues in Russia according to this BBC video

a) Using a S&D diagram, explain the likely effect on the world price of wheat by the reduced Russian harvest/Russian export ban
b) Using a S&D diagram, explain the likely effect of this on the price of products that have wheat as a major component (eg bread, cornflakes, beef etc)

Unit 2: Why have a spending review?

A nice summary from the BBC

Sunday, September 05, 2010

Thursday, September 02, 2010

Unit 2: Australia's economic growth

The BBC reports strong economic growth in Australia

a) Explain why interest rates might rise as a consequence of this strong growth in the Australian economy

Unit 1: Negative externalities associated with alcohol

Another clip from the BBC outlining some of the negative externalities associated with alcohol

Wednesday, September 01, 2010

Unit 1: Demand for amour plated cars in Mexico

A nice clip from the BBC

a) Using demand theory, explain the rise in demand for amour plated cars in Mexico
b) Show the effect of this on a demand diagram