Sunday, May 29, 2011

Unit 1: Cuba moves from central planning

...according to the BBC

a) In which way is this a move away from central planning?

Saturday, May 28, 2011

Unit 1: Russian drinkers and price elasticity of demand

....appear to be drinking more beer and less vodka, depite tax increases according to the BBC

a) In economic terms, what are beer and vodka?
b)Given the increase in price and fall in sales mentioned, do you believe the PED for beer to be elastic or inelastic?
c) Explain why this is the case using economic theory

Unit 2: Do tariffs work?

An intriguing answer form tutor2u

Unit 1: Overcoming information failure: Fuel consumption labels in the USA

Thanks to tutor2u for this

Would you buy a car knowing how much more (or less) than the average car you would spend on fuel? That's what's happening in the USA

a) What is the market failure this action is trying to reduce?
b) To what extent do you think the policy will reduce the market failure?

Friday, May 27, 2011

Unit 1: Public and private goods; revision

A nice one sheet revision from tutor2u which can be accessed half way down this post

Unit 1: The external cost oif alcohol consumption

....continues to rise according to the latest figures from these BBC posts article, and video

a) Why is rising alcohol consumption a problem for the UK economy?
b) Using a S&D diagram, explain why thr free market in alcohol is failing
c) Comment on the ideaa that raising the price of alcohol would reduce this market failure

Wednesday, May 25, 2011

Unit 1: More legislation to reduce NY

A nice BBC clip

a) Why is NY banning smoking in parks?
b) Comment on the likelyhood that this ban will reduce the consumption of demerit goods like cigarettes

Thursday, May 19, 2011

Unit 1: Legislation to reduce UK carbon emissions outlined by this BBC video

a) Discuss the benefits and costs to the UK of introducing this policy

Unit 2: The unequal effect of rising unemployment

Female unemployment is rising at a faster rate than male unemployment according to Ch4 Ch4

Different groups are being hit differently BBC

....and the latest figures

Saturday, May 07, 2011

Unit 2: How inflation is measured

Although this is US data, it is for CPI and so should be similar for the UK

a) Why was US inflation only 2.7% when gasoline went up 27.5%? Surely everybody buys petrol?