Sunday, November 28, 2010

Unit 1: The falling demand for Christas cards

Thanks to tuor2u for this article

a) I don't think the price of Xmas cards has fallen despite the fall in demand. Use a S&D diagram to explain why this might be the case

Saturday, November 27, 2010

Unit 1: More controls on cigarettes?

A first! An article from the Cambridge News! This is about proposed changes to selling cigarettes

a) What is the market failure associated with cigarettes
b) What sort of government action is being proposed?
c) To what extent do you think the market failure would be reduced if the proposals were implemented

Wednesday, November 24, 2010

Unit 1: Sewer buiding and negative externalities

An interesting video from the BBC

a) In what way does the video show the problems of negative externalities in the free market?

Monday, November 22, 2010

Unit 2: GDP and GDP growth data

From CNN comes this intersting graphic showing GDP size and GDP growth for the G20 countries

Unit 1: Food as a demerit good?

Thanks to tutor2u for this link to some really calorific foods

a) Why might these foods be thought of as being examples of demerit goods?

Thursday, November 11, 2010

Unit 2:" Inlation is higher for the elderly" claim

The BBC reports the story

a) Comment on the significance of this story on the impact of inflation on the UK economy

Wednesday, November 10, 2010

Unit 2: The causes of current (Nov 2010) and future inflation in the uk

This BBC video lets you hear the reasons from the horses mouth as Mervyn King explains

a) What type of inflation is the UK currently experiencing? Explain your answer
b) Explain why inflation in the future
i) might rise
ii) might fall
c) To what extent is an inflation rate 1% above target a problem for the UK economy

Unit 2: Supply side policies to help the unemployed

This video clip shows what happens in Brixton once you have been unemployed for 12 months

and in Wolverhampton

and the new government policy is explained here

a) Discuss the likely success of such schemes in reducing unemployment in the UK

Unit 1: Pricing Wales rugby tickets

Despite being the world's top rugby nation (don't go by rankings and results) Wales failed to sell out the millenium stadium last Saturday

a) Using a S&D diagram, explain why there were so many empty seats
b) Explain a policy the Welsh Rugby Union should follow to ensure a full stadium for every fixture and comment on the likely success of the policy

Sunday, November 07, 2010

Unit 2: Compulsory work placement; a supply side policy?

This BBC clip shows the latest coalition proposal to get people off benefits and back in to work

a) How is this an example of a supply side policy?
b) To what extent do you think such a policy would succeed in reducing unemployment?

Unit 2: GDP and the quality of life

I always like to highlight the limitations of GDP as an indicator of the quality of life. This economicshelp post highlights the major issues in the discussion

Monday, November 01, 2010

Unit 1: Increasing airport tax

Look at the table in this Ch4 article

a) Suggest 2 reasons why the government has inreased these taxes
b) Using the concept of PED, explain why there is such a difference in the increases

Unit 2: Graduate unemployment rising...again

A deeply depressing article and video from the BBC showing the burden of unemployment being borne unequally in the economy article video

Unit 1: Elasticity in the tablet computer market

An interesting clip from the BBC on competition in the tablet computer market

a) Explain why all of these products would not have the same PED value
b) Which would have the most inelasic demand? Why?
c) Would the income elasticity of demand for these products be positive or negative? Why?
d) How could you use the concept of cross ED in this market?