Unit 1: The price of rubber

A video from the BBC explaining the changing price of rubber

http://news.bbc.co.uk/1/hi/business/8470319.stm

a) Using a S&D diagram, explain why the price of rubber has risen. Make sure you cover both supply and demand factors

Unit 2: UK unemployment January 2010: Total numbers and the inequity of the burden of unemployment in the UK

The latest unemployment figues

http://news.bbc.co.uk/1/hi/uk/8470450.stm BBC video
http://news.bbc.co.uk/1/hi/business/8469648.stm BBC article
http://www.channel4.com/news/articles/business_money/unemployment+drops+for+first+time+in+18+months/3509152 Ch4 video and analysis. The article has some good hyperlinks in it
http://www.anforme.co.uk/blog/?p=1033 anforme analysis

a) Why has the unemployment total not risen as fast as anticipated?

The personal stories of some of the young unemployed in the UK

http://news.bbc.co.uk/1/hi/uk/8469526.stm

A minister explaining the latest data and how different groups are hit differently

http://news.bbc.co.uk/1/hi/business/8470017.stm

b)To what extent is unemployment a significant economic problem in the UK?

Unit 1 The price of garlic

Thanks to tutor2u for this article from the China Daily on the surging price of garlic

http://www.chinadaily.com.cn/bizchina/2009-11/30/content_9076838.htm

a) What factors that effect demand have changed?
b) What factors that effect supply have changed?
c) Use a S&D diagram to show why the price has risen so sharply

Unit 2: Revision: Inflation

A great summary from the BBC

http://news.bbc.co.uk/1/hi/business/7607930.stm

Unit 1: More proposals to control alcohol consumption

The BBC reports the latest government proposals to control alcohol consumption

http://news.bbc.co.uk/1/hi/uk/8466982.stm

a) What is the market failure the government is trying to tackle?
b) Tq what extent do you believe these new proposals are likely to succeed in reducing the market failure?

Unit 2: Falling consumer confidence

Anforme reprt falling UK consumer confidence

http://www.anforme.co.uk/blog/?p=1010

a) Why might this result in a fall in consumption spending in the UK?
b) Why might it not?

Unit 1: Information failure with alcohol: Is this the answer

A proposal to change the way information on alcohol is given

http://news.bbc.co.uk/1/hi/health/8455783.stm

a) To what extent do you believe this proposal would reduce the market failure associated with alcohol production?

Revision: What are the benefits and drawbacks of regulations for correcting market failure

A 2-sided summary fron economics student

http://rapidrevision.co.uk/economics-student/2010/01/09/all-9-jan-games-home-and-away-are-cancelled/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+EconomicsStudent+%28Economics+Student%29

Unit 1: A minimum price for alcohol; a way of reducing market failure?

Anforme/BBC have these informative articles on the proposal to have a minimum price for alcohol

http://www.anforme.co.uk/blog/?p=992
http://news.bbc.co.uk/1/hi/health/8447587.stm BBC video

a) Discuss whether there should be a minimum price on alcohol to reduce the market failure associate with its excessive consumption

Unit 1: Taxes on alcohol and tobacco

The BBC reports that Greece is to increase its taxes on alcohol and tobacco

http://news.bbc.co.uk/1/hi/business/8449252.stm

a) What type of taxes are these?
b) Draw a S&D diagram to show the effect of increasing the taxes
c) Given the government think that increasing the taxes will increase its revenues, what can you say about demand for these products?
d) Why is this the case?

Unit 1: The cost of the negative externalities associated with excessive alcohol consumption

Some sobering numbers in this BBC clip

http://news.bbc.co.uk/1/hi/health/8436888.stm

Unit 1: The price of copper

A clip from the BBC on an impending strike at Chile's major copper mine

http://news.bbc.co.uk/1/hi/business/8434330.stm

a) Using a S&D diagram, explain the effect of the strike on the world price of copper
b) Given the mine supplies 4% of total world copper, comment on the actual likely effect on the world price of copper

Unit 1: Absence from school: An example of information failure?

This BBC clip shows a wide discrepancy between truancy rates between social classes/income groups

http://news.bbc.co.uk/1/hi/uk/8432128.stm

a) What type of market failure is education normally classed as?
b) What are the 2 conditiond associated with such goods?
c) Does this video indicate information failure on the part of poorer households?
d) Why might this be the case? What else could account for the vastly different absence rates between income groups?

Unit 1: Government action to reduce smoking

The BBC reports a new campaign to encourage people to quit smoking

http://news.bbc.co.uk/1/hi/uk/8430702.stm

a) What is the market failure associated with smoking?
b) To what extent do you believe such a campaign is likely to reduce the market failure associated with smoking?

Unit 1: Government intervention to overcome the market failure asociated with "legal highs"

The BBC reports new laws banning chemical compounds which get you, allegedly, high

http://news.bbc.co.uk/1/hi/uk/8427439.stm

a) How does the free market for these compounds fail; ie why has the government banned these drugs?
b) Comment on how effective this ban will be in reducing the market failure

Unit 2: Import tarifffs on Chinese/Vietnamese shoes

This BBC clip (and article) explains the reasons for import tarifffs on Chinese/Vietnamese shoes

http://news.bbc.co.uk/1/hi/business/8426315.stm video
http://news.bbc.co.uk/1/hi/business/8426432.stm article

a) Why have the tariffs been imposed?
b) Using a diagram, show the effect of the tariff on imported Chinese/Vietnamese shoes
c) Given the tariff is 1.5 Euro on a 50 Euro pair os shoes, comment on the likely effectiveness of the tariff
d) How likely do you think the tariff has been in helping the survival of the European shoe industry?

Unit 2: Why the UK current account deficit persists

A nice summary from economics help

http://www.economicshelp.org/2009/12/why-current-accound-deficit-persists.html

Unit 2: How interest rates effect economic growth

A nice analogy from marketplace; its a little simple, but it will get you thinking

http://marketplace.publicradio.org/display/web/2009/12/15/whiteboard-interest-rates/

a) Apart from less saving, why else does the consumption expand as interest rates fall?
b) Use the AD formula to explain why this will lead to the economy expanding
c) Show the effect of this increase in AD on an AD/AS diagram and comment on the beneficial and detrimental effects this may have on the governments macroeconomic objectives

Unit 2: Recession and government finances

Economics help has this great summary explaining why government finances deteriorate in a recession

http://www.economicshelp.org/blog/economics/recession-and-government-finances/

Unit 2: Unemployment data December 2009

A summary of the latest changes from Ch4 and anforme

http://www.channel4.com/news/articles/business_money/jobless+benefit+claimant+count+down/3464992

http://www.anforme.co.uk/blog/?feed=rss2

Unit 1: Actions to reduce market failure: Volume limits on mp3 players

An interesting article/video from the BBC

http://news.bbc.co.uk/1/hi/uk_politics/8410302.stm

a) What is the apparent market failure?
b) What type of corrective action is the EU proposing?
c) Comment on the likely success of the measure in reducing the market failure
d) Suggest alternative measures the EU could take

Unit 2: Macroeconomic stability

A useful post from tutor2u on macroeconomic stability

http://www.tutor2u.net/blog/index.php/economics/comments/macroeconomic-stability/

Unit 1: Markets in action

A great liile BBC clip showing the workings of a Tanzanian fish market

http://news.bbc.co.uk/1/hi/business/8408895.stm

a) Who supplies fish to the maket
b) Who buys fish in the market?
c) How is the market price determined for any fish?
d) Does this fish market meet the economic definition of a market?

Unit 1: Problems with government actions to reduce tobacco use

This Ch4 article and video show one consequence of the government actions to reduce tobacco consumption

http://www.channel4.com/news/articles/business_money/counterfeit+tobacco+8216kills+4000+a+year8217/3457737

a) Why are the twin government policies of high indirect axation and regulation not reducing the market failure?
b) What further market failures arise from this "free" black market?
c) Suggest actions the government could take to reduce/eliminiate this black market
d) To what extent do you believe such policies would be successful?

Unit 1: Hand held mobile use while driving: A demerit good?

A great clip from the BBC

http://news.bbc.co.uk/1/hi/uk/8407404.stm

a) Define a merit good
b) Does driving while holding a hand held mobile represent an example of a demerit good? Explain your answer
c) Discuss how successful different government stratagies may be in reducing the market failure

Unit 1: The price of christmas trees

The BBC has this clip on the price of christmas trees

http://news.bbc.co.uk/1/hi/uk/8407885.stm

a) Using a S&D diagram, explain what is likely to happen to the price of nordmann fir christmas trees this year

Unit 2: The UK budget deficit

A great graphic from thre guardian

http://www.guardian.co.uk/business/interactive/2009/dec/09/pre-budget-report

Unit 2: Revision: Aggregate demand

An updated powerpoint presentation from tutor2u with good data

http://www.tutor2u.net/economics/presentations/aseconomics/macro/AggregateDemand/player.html

Unit 2: Revision: Demand deficient unemployment

A really good summary of demand deficient unemployment from economics blog

http://www.economicshelp.org/blog/economics/demand-deficient-unemployment/

Unit 1: Scottish government action on sunbeds

The BBC reports actions by the Scottish government on sunbeds

http://news.bbc.co.uk/1/hi/scotland/8385432.stm

a) What is the market failure with sunbeds?
b) List the actions the Scottish government is taking
c) Why is it taking these particular actions?
d) To what extent do you think these actions will reduce the market failure?

NB: There are other blog posts on sunbeds that you could read/watch to get a broader picture of the issue

Unit 1: Market failure; obesity in Scotland

An article from the BBC reflecting market failure in Scotland

http://news.bbc.co.uk/1/hi/scotland/8384429.stm

a) What are the private costs of obesity?
b) What sort of market failure does obesity represent?
c) Why this type of market ailure?
d) What actions could the Scottish government take to reduce the market failure?
e) Discuss how successful do you think any government policies will be in reducing obesityin Scotland

Unit 1: Revision: Market failure and efficiency

A series of posts from Economic Student covering the basics

http://rapidrevision.co.uk/economics-student/2009/11/28/efficiency-and-market-failure/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+EconomicsStudent+%28Economics+Student%29 What is market failure and efficiency?

http://rapidrevision.co.uk/economics-student/2009/12/02/causes-of-market-failure/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+EconomicsStudent+%28Economics+Student%29 What are the causes of market failure?

Unit 1: Negative externalities from schoolies week in Australia

A great video from the BBC http://news.bbc.co.uk/1/hi/world/asia-pacific/8382093.stm

a) What negative externalities arise from schoolies week in Australia ?
b) What actions could be taken to reduce the negative externalities?
c) To what extent do you think such actions would be successful in reducing the negative externalities arising from schoolies week?

Unit 2: Protectionism examples

Thanks to tutor2u for pointing out this article citing examples of protectionism

http://www.telegraph.co.uk/finance/financetopics/financialcrisis/6622730/A-short-guide-to-protectionism.html

Unit 1: Drawbacks of using indirect taxes to reduce market failure: Pub beer

An interesting video from the BBC

http://news.bbc.co.uk/1/hi/business/8373230.stm

a) What does this seem to indicate about the price elasticity of demand for pub beer?
b) Discuss whether pub closures would indicate the government has been successful in decreasing the negative externalities associated with alcohol consumption

Unit 1: Scarcity and choice in the health service

The decision by NICE to reject a liver cancer drug is explained here

http://news.bbc.co.uk/1/hi/health/8368023.stm

and the opposing view here

http://news.bbc.co.uk/1/hi/health/8367962.stm

and a personal view, here

http://news.bbc.co.uk/1/hi/health/8367715.stm

a) Discuss whether this drug should be licenced for use in the NHS

Unit 2: Interactive unemployment data for the USA

Thanks to tutor2u for pointing out this resource

http://www.nytimes.com/interactive/2009/11/06/business/economy/unemployment-lines.html

a) Play around with the data and then decide who are the worst effected by the declining economy and who are least effected

Unit 1: Externalities in Singapore

Thanks to tutor2u for pointing out this blog with examples of externalities in Singapore

http://welkerswikinomics.com/blog/2009/11/17/an-introduction-to-consumption-externalities-from-a-singapore-perceptive/

Unit 2: Inflation: Measurement, causes and effects

Two presentations from tutor2u with almost all you need to know about inflation

http://www.tutor2u.net/economics/presentations/a2economics/macro/InflationMeasurement/player.html measurement

http://www.tutor2u.net/economics/presentations/a2economics/macro/InflationCausesEffects/player.html causes and effects

Unit 1: The price of champagne

Using the article and video,

http://www.channel4.com/news/articles/business_money/champagne+prices+down+after+bumper+crop/3421197

a) Using a S&D diagram, explain why the price of champagne has fallen

Unit 2: Unemployment: How it's measured

Tutor2u has this article that contains links to articles on the economically inactive and the 2 main measures of unemployment

http://www.tutor2u.net/blog/index.php/gcse-economics/comments/8-million-economically-inactive-unemployment-definition/

Unit 2: The effect of USA tariffs on China's pipe exports

The BBC reports the USA imposing tariffs on Chinese pipe imports

http://news.bbc.co.uk/1/hi/world/asia-pacific/8345881.stm

a) Using a diagram, explain the effect on the price of pipes from China in the USA after the tariff has been levied
b) To what extent will this effect sales of Chinese pipes in the uSA
c) What do you think might be the next stap in this trade dispute?

Unit 1: Car scrappage: Subsidies as a means of increasing production/consumption

The BBC reports sales of new cars much higher that the same month last year

http://news.bbc.co.uk/1/hi/business/8343948.stm

a) Using a diagram, explain the effect of the car scrappage scheme on the car market

Unit 1: Government action to reduce smoking

An intersting escalation in govt action to reduce smoking is proposed in Scotland

http://news.bbc.co.uk/1/hi/scotland/8340947.stm

a) How does smoking lead to market failure?
b) What therefore does any policy regarding smoking aim to achieve?
c) To what extent do you think making it a criminal offence for under 18's to buy cigarettes would reduce the market failure?

Unit 2: Structure and state of the Balance of payments

From economics teacher comes this good summary of the BoP structure

http://rapidrevision.co.uk/economics-student/2009/11/07/faq-what-is-balance-of-payments/

and the UK position

http://rapidrevision.co.uk/economics-student/2009/11/09/faq-what-is-the-current-balance-of-payments-position-for-the-uk/

and this from Anforme

http://www.anforme.co.uk/blog/?p=881

Unit 1: Market failure in the car tyre market

An interesting clip from the BBC showing changing consumer behaviour in the recession

http://news.bbc.co.uk/1/hi/uk/8335214.stm

a) What form does government intervention take in the car tyre market?
b) Why does the government do this? In what way would a free market in tyres fail?
c) To what extent is the market failure increasing in the recession

Unit 1: Income elasticity of demand for coffee

A really interesting video clip from the BBC

http://news.bbc.co.uk/1/hi/business/8334993.stm

a) Explain what income elasticity of demand measures and state the formula
b) Given what is said in the video, would it be true to say that coffee bought on the high street is an inferior good?

Unit 2: GDP Data

From economics help, this useful graphic of UK economic growth

http://www.economicshelp.org/blog/economics/latest-gdp-statistics/

Unit 2: What is GDP and what is the GDP per capita of various countries?

A great summary of GDP from the BBC

http://news.bbc.co.uk/1/hi/business/88618.stm

and thanks to tutor2u for pointing out this GDP per capita resource

http://snippets.com/what-is-the-gdp-per-capita-for-every-country.htm

Unit 2: Inflation and Unemployment data October 2009

A good summary of the latest position from anforme

http://www.anforme.co.uk/blog/?p=818 inflation
http://www.anforme.co.uk/blog/?p=826 unemployment

Unit 1: Cigarette vending machine bans ....and more

The BBC reports plans to ban cigarette vending machines and make cigarettes under the counter items in shops

http://news.bbc.co.uk/1/hi/uk_politics/8303975.stm

a) Explain the economic justification for such actions
b) To what extent do you think such measures will be successful in reducing the market failure associated with smoking?

A good article explaining the improving UK trade deficit

http://www.volterra.co.uk/custompage/einsight-1009.php#Section1

a) What is meant by a trade deficit?
b) What is meant by an improving deficit?
c) Why does the srticle suggest the UK trade deficit has improved?

Unit 1: The price of champagne

Thanks to tutor2u for this Daily Mail article

http://www.dailymail.co.uk/news/article-1219016/Champagne-fall-10-bottle-price-plummets-recession.html

The same story is also in the Times

http://www.timesonline.co.uk/tol/news/world/article6867031.ece

a) Using a S&D diagram, explain what has happened to the demand for campagne and the resulting changes in the market
b) Draw another diagram to show the effect of the smaller harvest next year and explain the resulting changes in the market

Unit 1: The price of sugar

An article from the Guardian with lots of S&D economics in it

http://www.guardian.co.uk/business/2009/oct/06/sugar-prices-soar-new-oil

a) Explain the 2 factors that have lead to a decrease in the supply of raw sugar
b) Explain what has happened to the demand for sugar
c) Using your answers to a) and b) and a diagram, explain what has happened to the sugar market
d) Define price elasticity of supply
e) Given the 2 statements below, discuss whether the price elasticity of supply will be elastic or inelastic
"The sugar available now is dependent upon the sugar planted last year": "Stockpiles of sugar are available"
f) Define price elasticity of demand
g) Do you believe the price elasticity of demand for sugar to be elastic or inelastic? Explain your reasoning

Unit 2: Macro data

A really useful powerpoint on latest key macro data from tutor2u

http://www.tutor2u.net/economics/presentations/inthelongrun/player.html

Unit 1: The price of milk

This BBC article explains that the price of milk in the EU is falling

http://news.bbc.co.uk/1/hi/business/8289976.stm
http://news.bbc.co.uk/1/hi/business/8289972.stm video

a) Using a diagram, explain why the price of milk is falling
b) Why are farmers dumping milk and witholding supplies?
c) Using a diagram, show the effect of farmers witholding supplies on the price of milk

Unit 1: Increasing demand for real ale

This BBC article says demand for real ale is rising

http://news.bbc.co.uk/1/hi/business/8290264.stm

a) Which determinant of demand has changed leading to the increasing demand for real ale?
b) Show this effect on a demand curve

Unit 1: The price elasicity of demand for postage stamps

This BBC article is a good example of price elasicity of demand in action

http://news.bbc.co.uk/1/hi/business/8283362.stm

a) Define price elasicity of demand
b) Using the information in the article, calculate the PED for first and second class stamps
c) What do the 2 numbers you have calculated tell you about the demand for the 2 products?
d) Why is demand for these 2 products as you have described? (Hint: Look at the factors that influence PED)
e) What advice would you give Royal mail about their pricing structure as a result of your calculations?

Unit 2: Latest UK growth figures

From anforme, a useful summary and chart

http://www.anforme.co.uk/blog/?p=768

Unit 1: Government intervention in the mp3 player market

An interesting story from the BBC highlighting market failure in the mp3 player market and a possible EU response

http://news.bbc.co.uk/1/hi/business/8279348.stm

a) What examples of information failure are there in the article?
b) What examples of negative externalities are there in the article?
c) How successful do you think the EU proposal would be in reducing the market failure?

Unit 1: Price Elasticity of Supply in the USA whisky industry

Thanks to tutor2u for pointing out this article on Price Elasticity of Supply in the USA whisky industry

http://www.guardian.co.uk/business/andrew-clark-on-america/2009/jul/20/fooddrinks-marketingandpr

a)Is the supply of Knob Creek whisky elastic or inelastic? Explain your answer

Unit 2: Causes and effects of a depreciating pound

2 useful articles from economics help covering the causes and effects of a depreciating pound

http://www.economicshelp.org/blog/economics/pound-sterling-depreciation/ Causes
http://www.economicshelp.org/blog/economics/winners-and-losers-from-weak-pound/ Effects; winners and losers

Unit 1: The price of chocolate

Thanks to tutor2u for this link and questions on how S&D are efffecting the price of chocolate

http://www.dailymail.co.uk/news/article-1215682/Worst-cocoa-shortage-40-years-fuels-chocolate-price-rise-fears.html

1. With the aid of a demand and supply diagram explain why the price of cocoa has risen. (5)
2. Explain, with reference to the article why cocoa and chocolate are said to be a
derived demand. (3)
3. Cadbury have said that if cocoa prices remain high they would have no choice but to raise the price of chocolate. Discuss whether this is the best option for Cadbury and other chocolate manufacturers. (8)

Unit 1: The falling demand for apples

A thanks to tutor2u for highlighting this article about the falling demand for apples

http://www.dailymail.co.uk/news/article-1215030/Apples-losing-crunch-nation-abandons-fruit-favour-sweets-junk-food.html

a) Using the factors that influence demand, explain why demand for apples is falling
b) Draw a diagram to show the effect on the demand curve of this change in demand

Unit 2: Worsening UK unemployment

A summary of the latest figures from anforme

http://www.anforme.co.uk/blog/?feed=rss2

Unit 2: Falling UK inflation

The latest figures show falling CPI inflation

http://news.bbc.co.uk/1/hi/business/8256181.stm

This article also has a diagram showing recent changes in inflation

http://www.anforme.co.uk/blog/?feed=rss2

a) What is the govt CPI target
b) What is the difference betwen CPI inflation and RPI inflation?

Unit 1: Falling hotel prices

The BBC reports falling hotel prices across the UK

http://news.bbc.co.uk/1/hi/business/8256107.stm

a) Using a S&D diagram, explain why hotel prices have fallen in the UK during 2009
b) How would you account for the differing rates of decline in different parts of the UK

Unit 2: The limitations of using GDP to measure a nation's progresshappiness

Economics help reports on the new report from 2 Nobel economists once again oulining the limitations of GDP as a measure of an economy's progress

http://www.economicshelp.org/blog/economics/gdp-and-happiness/

Unit 2: Increasing govt expenditure in China

This BBC clip shows how an economic stimulus by the govt can influence the economy

http://news.bbc.co.uk/1/hi/world/asia-pacific/8256073.stm

a) Using the AD formula and an AD/AS diagram, explain the effect of major projects like this on the Chinese economy
b) What evidence is there in the video that this project will have a positive multiplier effect in the economy

Unit 2: Escalating trade dispute between the USA and China

The BBC reports an escalating trade dispute between the USA and China

http://news.bbc.co.uk/1/hi/business/8253365.stm

a) Define protectionism
b) What type of protectionist measure has the usa imposed?
c) Using a diagram, explain how this should restrict imports of chinese tyres in to the USA
d) Give 1 reason why imports of Chinese tyres may not fall
e) What word would you use to describe China's rsponse?
f) What is the danger of such tit for tat measures?

Unit 1: The problem of enforcing regulations

This BBC clip/article suggests that regulations by themselves may not reduce market failure

http://news.bbc.co.uk/1/hi/health/8253869.stm video
http://news.bbc.co.uk/1/hi/uk/8253676.stm article

a) What is the intention of the regulation?
b) Why is it not working as intended?
c) What disadvantages of using regulation does this illustrate?
d) What actions do you suggest could improve the effectiveness of the regulation?

Unit 1 : The rising price of second hand cars

An interesting clip and article from the BBC

http://news.bbc.co.uk/1/hi/uk/8251990.stm video
http://news.bbc.co.uk/1/hi/business/8251920.stm article

a) Using a S&D diagram, explain why the price of second hand cars is rising
b) Using a S&D diagram, explain why the price of second hand cars was falling a year ago as the recession took hold of the economy

Unit 1: The effect of the scrappage scheme on car sales

This BBC clip and article says car sales are rising, but from a low base

http://news.bbc.co.uk/1/hi/business/8238287.stm http://news.bbc.co.uk/1/hi/business/8237493.stm article

a) Using a S&D diagram, explain why more cars are being sold

Unit 1: Needs and wants

A clear distinction between needs and wants from economics help

http://rapidrevision.co.uk/economics-student/2009/09/03/faq-what-are-wants-and-needs/

Unit 1: Actions to reduce the market failure in the lightbulb market

A really helpful clip/articles from the BBC

http://news.bbc.co.uk/1/hi/uk/8230463.stm video
http://news.bbc.co.uk/1/hi/world/europe/8230961.stm article
http://news.bbc.co.uk/1/hi/uk/8229476.stm article

a) How does the market for traditional lightbulbs fail?
b) What type of action is the EU taking to reduce this failure?
c) Why are some customers unhappy at the EU decision?
d) To what extent do you think their actions will be successful?

Unit 1: Actions to reduce excessive alcohol negative externalities

According to the BBC, new laws are coming in to effect in Scotland to reduce excessive alcohol negative externalities

http://news.bbc.co.uk/1/hi/scotland/8229188.stm

and in England and Wales, alohol asbos

http://news.bbc.co.uk/1/hi/uk/8230052.stm

a) What are the negative externalities associated with excessive alcohol consumption?
b) How does the free market fail?
c) What laws/regulations are coming in to effect in Scotland to reduce excessive alcohol negative externalities?
d) What laws/regulations are coming in to effect in England and Wales to reduce excessive alcohol negative externalities?
e) To what extent do you think the new laws will be successful in reducing the market failure?

Unit 2: Macro data

A useful source of data graphs

http://www.volterra.co.uk/custompage/einsight-0809.php#Section1

a) Look at the GDP/Unemployment graph. What link is there between the 2 variables? How can you explain this?
b) The RPI graph clearly shows the deflation in this measure of unemployment that the UK is experiencing

Unit 2: Investment

A summary of investment from economics student

http://rapidrevision.co.uk/economics-student/2009/08/28/the-implications-of-low-investment/

Unit 1: Information failure: Drinking "by stealth"

An interesting article from the BBC re alcohol consumption

http://news.bbc.co.uk/1/hi/health/8223294.stm

a) How does this "stealth drinking" represent information failure?
b) What actions could the government take to reduce this information failure and so reach a more allocatively efficient consumption of alcohol?
c) What other examples of information failure are mentioned in the article?

Unit 1: Tory plans to reduce the negative externalities from excessive drinking in city centres

From the Cambridge Evening News comes this interesting article on Tory proposals to reduce the negative externalities from excessive drinking in city centres

http://www.cambridge-news.co.uk/cn_news_home/DisplayArticle.asp?ID=443452

a) What are the PRIVATE benefits of many people flocking to city centres to drink?
b) What are the EXTERNAL benefits of many people flocking to city centres to drink?
c) What are the PRIVATE costs of many people flocking to city centres to drink?
d) a) What are the EXTERNAL costs of many people flocking to city centres to drink?
e) To what extent do you belive each of the proposals would reduce the market failure?

Unit 1: Negative externalities associated with lead smeltering in China

A great BBC article and video explaing the negative externalities associated with lead smeltering in China

http://news.bbc.co.uk/1/hi/world/asia-pacific/8211081.stm

a) Explain what a negative externality is
b) Use the article and video to explain the negative externalities associated with lead smeltering in this particular plant in China
c) Why does lead smeltering not always produce this sort of market failure? (Hint: Think of the actions the govt can take)

Unit 2: Consumer spending and saving data

A powerpoint from tutor2u packed with relevant data

http://www.tutor2u.net/economics/chartrooms/consumerspendingsaving/player.html

Unit 2: Economic growth in Japan

This BBC video explains why the Japanese economy has returned to growth

http://news.bbc.co.uk/1/hi/business/8204723.stm

a) How is economic growth measured?
b) State the formula for aggregate demand
c) According to the video, which components of AD are fuelling the growth in Japan?

Unit 1: Information failure in the food and drink industry

Three video stories that may/may not make you alter your lifestyle

http://news.bbc.co.uk/1/hi/health/8194584.stm Alcohol and oral cancer
http://news.bbc.co.uk/1/hi/health/8194584.stm Alcohol and teenage liver disease
http://news.bbc.co.uk/1/hi/health/8194584.stm Processed meat and bowelcancer risk

a) How would the market fail as a result of this information failure?
b) Outline 2 policies the govt could take to reduce these sorts of market failure
c) To what extent do you think any govt action is likely to be successful in reducing the market failure

Unit 2: Economic growth/Aggregate demand/Unempoyment data August 2009

From tutor2u a powerpoint on Economic growth/Aggregate demand/Unempoyment data August 2009

http://www.tutor2u.net/economics/chartrooms/aggregatedemand/player.html

Unit 2: Unemployment data August 2009

A powerpoint from tutor2u on the latest figures

http://www.tutor2u.net/blog/index.php/economics/comments/unemployment-in-the-uk-labour-market/#When:09:15:00Z

This BBC clip explains the problem

http://news.bbc.co.uk/1/hi/business/8197057.stm

Unit 1: The price of sugar

Tutor2u has this useful post explaining the rise in the price of sugar

http://www.tutor2u.net/blog/index.php/economics/comments/imbalance-between-supply-and-demand-drives-sugar-prices-to-28-year-high/#When:06:17:00Z

a) Explain, using a diagram, what has happened to the demand for, and supply of, sugar and why the price has risen

Unit 1: Economic systems: How different countries supply health care

This BBC article shows how differnt coutries provide health care

http://news.bbc.co.uk/1/hi/health/8201711.stm

a) Explain how the idea of economic systems can be used to explain how the various countries allocate their scarce resources to answer the 3 basic economic questions any society has to answer

Unit 1: Negative externalities associated with drunkeness

Two sobering videos from the BBC

http://news.bbc.co.uk/panorama/hi/front_page/newsid_8190000/8190335.stm
http://news.bbc.co.uk/1/hi/uk/8192652.stm

a) Who were the 2 parties involved in the economic transaction that resulted in this injury?
b) What is a negative externality/external cost?
c) List all the negative externalities resulting from that transaction that you see in the clip
d) Why are these things negative externalities?
e) What other negative externalities would arise from this assault/injury that are not mentioned in the clip?
f) To what extent do you think the solutions suggested in the second video are likely to be successful in reducing the market failure?

Unit 1: Income elasticity of demand and technology products

An interesting BBC report on an OFCOM survey

http://news.bbc.co.uk/1/hi/sci/tech/8186846.stm

a) Using evidence from the clip, explain what can you say about the income elasicity of demand for techn ology products compared to foreign holidays, eating out, CD's etc

Unit 2: The effects of the rise in value of the £

The BBC reports the value of the £ rising to a 10 month high

http://news.bbc.co.uk/1/hi/business/8183144.stm

a) What has to have happened in the market for the value of the £ to have risen?
b) What sections of the UK economy would benefit from this rise in the value of the £?
c) What sections of the UK economy might be adversely effected by this rise in the value of the £?

Unit 1: Negative externalities resulting from the Norwegian oil spill

The BBC has a video of the effect of an oil spill on the Norwegian coast

http://news.bbc.co.uk/1/hi/world/europe/8182789.stm

a) Define negative externality/external cost
b) Using evidence for the video, explain the negative externalities that may arise from this oil spill
c) What additional private costs will arise for the shipping firm from this oil spill?
d) Are there any private or external benefits/positive externalities that may arise from this oil spill?

Unit 2: Positive effects of unemployment?

Tutor2u have this Sky video/article on possible advantages for those made unemployed in the current recession

http://news.sky.com/skynews/Home/video/Funemployment-Is-The-Solution-To-Unemployment-For-Some-Recession-Victims/Video/200908115351529?lpos=video_Article_Related_Content_Region_1&lid=VIDEO_15351529_Funemployment_Is_The_Solution_To_Unemployment_For_Some_Recession_Victims

a) To what extent do you believe this is an accurate reflection of the effect of unemployment on individuals?
b) Do these possible positive effects outweigh the negative effects on the economy as a whole?

Unit 1: Negative externalities associated with clearing the Corby steelworks

These BBC videos report the sad case of children born with birth defects in Corby as a result of negligence by the local authority when cleaning the site of toxic materials

http://news.bbc.co.uk/1/hi/uk/8174316.stm
http://news.bbc.co.uk/1/hi/uk/8173192.stm
http://news.bbc.co.uk/1/hi/health/8174508.stm

a) Why would such birth defects be regarded as negative externalities by economists?

Unit 1: Positive externalities in Greenland arising from global warming

The BBC reports on possible positive externalities in Greenland arising from global warming

http://news.bbc.co.uk/1/hi/sci/tech/8173781.stm

a) Define a positive externality
b) Describe the potential positive externalities for Greenland arising from global warming and explain why are they positive externalities.

nit 1: Negative externalities assiciated with excess alcohol

This BBC clip has news of complaining Newquay residents

http://news.bbc.co.uk/1/hi/uk/8173145.stm

a) Define a negative externality
b) List the negative externalities the residents complain about and in each case identify the 3rd party effected by the excessive alcohol consumption

Unit 1: Information failure: Sunbeds and tanning

The BBC reports the latest on sunbeds and the potential danger associated with their overuse

http://news.bbc.co.uk/1/hi/health/8172690.stm article
http://news.bbc.co.uk/1/hi/health/8174136.stm video

a) How is this market subject to information failure (watch the video as well as reading the article)?
b) What is the result of this information failure in the market?
c) Explain 2 approaches the govt could take to reduce the market failure
d) To what extent do you believe such intervention would reduce the market failure?

Unit 1: Shift of the UK PPC

From tutor2u comes this great article about the UK PPC

http://www.tutor2u.net/blog/index.php/economics/comments/did-you-feel-the-shift/

a) Define a PPC
b) Why has the UK PPC shifted outwards?
c) Does this represent an increase in actual or potential output? Explain your answer
d) Draw a diagram to show the effect of this change in legislation

Unit 2: Is the UK coming out of the recession?

Three videos from the BBC putting 2 sided arguments forward as to whether the UK is recovering from a recession or not. These are ideal for gathering information to practice your evaluation technique

http://news.bbc.co.uk/1/hi/business/8150834.stm Hugh Pym
http://news.bbc.co.uk/1/hi/business/8150625.stm Steph Flanders
http://news.bbc.co.uk/1/hi/uk/8151111.stm Richard Scott

a) To what extent might it be said the UK economy is coming out of the recession?

Unit 1: The price mechanism at work: The coffee market

From economics student comes this clear summary of channges to supply and demand and their effect on the coffee market

http://rapidrevision.co.uk/economics-student/2009/07/08/coffee-republic-the-price-mechanism-at-work/