Economics

With the World in the midst of its biggest economic crisis for decades we are in need of some direction from the brightest and best talent available. We have a worldwide recession, the banking sector is in turmoil and the Government is heavily in debt. Is it all down to the bankers and their multi million pound bonuses? Who is giving us the right direction? A more difficult question, which is beginning to emerge is the political and moral one: Does the solution lie in markets or with governments? Interesting times lie ahead. After years of steady growth and rather boring consensus we have now entered a new era of intellectual debate and no doubt lots of political argument. A key to understanding all of this is to understand how markets work and their role in the allocation of resources. Economics is about choice and the impact of our choices on each other. It relates to every aspect of our lives, from the decisions we make as individuals or families to the structures created by governments and firms. The economic way of thinking can help us make better choices.

Progression

University courses in a variety of subjects can be taken. Depending on the combination of A levels studies, courses in many areas are possible. Those who wish to take Economics at degree level will find that all universities offer courses.

Year 12 Topics

Micro Economics

The economic problem and economic methodology
Individual decision making
Price determination in a competitive market
Production, costs and revenue
Perfect competition and imperfect competition

Macro Economics

How the macroeconomy works
The objectives of macroeconomic policy
The uses of Index numbers
Macroeconomic indicators
Economic growth and Economic cycle
Employment and unemployment
Inflation and deflation
Conflicts in macroeconomic decisions
The structure of financial markets and financial assets
Commercial banks and investment banks
Central banks and monetary policy
The regulation of the financial system

Year 13 Topics

Micro Economics

The labour market
Income, Wealth, Poverty and Inequality
Market mechanism, failure and government intervention.

Macro Economics

The financial markets and monetary policy
Fiscal policy and supply side policies
The international economy