{"id":11,"date":"2026-09-29T10:08:06","date_gmt":"2026-09-29T10:08:06","guid":{"rendered":"https:\/\/thesilenteconomist.co.uk\/?page_id=11"},"modified":"2026-09-29T10:08:06","modified_gmt":"2026-09-29T10:08:06","slug":"ocr-a-level-h460-specification","status":"publish","type":"page","link":"https:\/\/thesilenteconomist.co.uk\/?page_id=11","title":{"rendered":"OCR A Level H460 Specification"},"content":{"rendered":"\n

1.1 Introduction to Microeconomics<\/strong><\/p>\n\n\n\n

1.1.1 The economic problem<\/em><\/strong><\/p>\n\n\n\n

Explain:<\/strong> Economic goods and free goods<\/p>\n\n\n\n

Explain:<\/strong> The economic problem: scarcity, choice, needs, and wants<\/p>\n\n\n\n

Explain: <\/strong>Normative and positive statements<\/p>\n\n\n\n

Explain: <\/strong>The role of economic agents: government, firms, and households<\/p>\n\n\n\n

Explain: <\/strong>The factors of production: land, labour, capital, and enterprise<\/p>\n\n\n\n

Explain: <\/strong>The rewards of the factors of production: rent, wages, interest and profit<\/p>\n\n\n\n

Evaluate: <\/strong>The problem of scarcity and the requirement to make choices<\/p>\n\n\n\n

Evaluate: <\/strong>Rationality as a way of understanding the behaviour of economic agents<\/p>\n\n\n\n

Evaluate: <\/strong>The different objectives of the economic agents in an economy<\/p>\n\n\n\n

1.1.2 The allocation of resources<\/em><\/strong><\/p>\n\n\n\n

Explain: <\/strong>Incentives<\/p>\n\n\n\n

Explain:<\/strong> Market, planned and mixed economies<\/p>\n\n\n\n

Explain: <\/strong>Economic efficiency: productive and allocative efficiency<\/p>\n\n\n\n

Evaluate: <\/strong>The effectiveness of incentives on the behaviour of economic agents and resource allocation<\/p>\n\n\n\n

Evaluate: <\/strong>The allocation of resources in the different economic systems<\/p>\n\n\n\n

1.1.3 Opportunity cost<\/em><\/strong><\/p>\n\n\n\n

Explain: <\/strong>Opportunity cost and trade-off<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Movements along a production possibility curve (PPC)<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Shifts of a production possibility curve (PPC)<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The usefulness of the concept of opportunity cost<\/p>\n\n\n\n

1.2 The role of markets<\/strong><\/p>\n\n\n\n

1.<\/strong>2.1 Specialisation and trade<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Specialisation and the division of labour<\/p>\n\n\n\n

Explain: <\/strong>Barter systems<\/p>\n\n\n\n

Explain: <\/strong>Money as a medium of exchange<\/p>\n\n\n\n

Evaluate: <\/strong>The role of specialisation and the division of labour in addressing the problem of scarcity<\/p>\n\n\n\n

1.<\/strong>2.2 Demand <\/strong> <\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The relationship between price and quantity demanded<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Individual and market demand<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Joint, competitive and composite demand<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Movements along the demand curve (extension\/contraction)<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Shifts of the demand curve (increase\/decrease)<\/p>\n\n\n\n

1.<\/strong>2.3 Supply<\/strong><\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The relationship between price and quantity supplied<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Individual and market supply<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Joint and competitive supply<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Movements along the supply curve (extension\/contraction)<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Shifts of the supply curve (increase\/decrease)<\/p>\n\n\n\n

1.<\/strong>2.4 Consumer and producer surplus<\/strong><\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Consumer surplus and producer surplus<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The effects of changes in price on consumer surplus<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The effects of changes in price on producer surplus<\/p>\n\n\n\n

Evaluate: <\/strong>The impact of changes in price on consumer and producer surplus<\/p>\n\n\n\n

1.<\/strong>2.5 The interaction of markets<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Ceteris paribus<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The interaction of demand and supply<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Market equilibrium and disequilibrium<\/p>\n\n\n\n

Evaluate: <\/strong>The impact of changes in demand and\/or supply in one market on a related market(s)<\/p>\n\n\n\n

1.<\/strong>2.6 Elasticity<\/strong><\/p>\n\n\n\n

 Explain: <\/strong>Elasticity<\/p>\n\n\n\n

Explain and calculate: <\/strong>Price elasticity of demand (PED)<\/p>\n\n\n\n

Explain and calculate: <\/strong>Income elasticity of demand (YED)<\/p>\n\n\n\n

Explain and calculate: <\/strong>Cross elasticity of demand (XED)<\/p>\n\n\n\n

Explain and calculate: <\/strong>Price elasticity of supply (PES)<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Different values of PED, YED, XED and PES<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The relationship between PED and a firm\u2019s total revenue<\/p>\n\n\n\n

Evaluate: <\/strong>Factors which determine the value of PED, YED, XED and PES<\/p>\n\n\n\n

Evaluate: <\/strong>The usefulness and significance of PED, YED, XED and PES<\/p>\n\n\n\n

1.<\/strong>2.7 The concept of the margin<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Margin<\/p>\n\n\n\n

Explain: <\/strong>Total and marginal utility, diminishing marginal utility and the demand curve<\/p>\n\n\n\n

Explain and calculate:<\/strong> Marginal values<\/p>\n\n\n\n

1.<\/strong>2.8 Market failure and externalities<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Market failure<\/p>\n\n\n\n

Explain: <\/strong>Marginal social cost, marginal external cost, marginal private cost, marginal social benefit,  marginal external benefit and marginal private benefit<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Positive and negative externalities (external benefits and external costs); consumption and production<\/p>\n\n\n\n

1.<\/strong>2.9 Information failure<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Information failure<\/p>\n\n\n\n

Explain: <\/strong>Asymmetric information and moral hazard<\/p>\n\n\n\n

Explain: <\/strong>Merit and demerit goods<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Market failure caused by information failure<\/p>\n\n\n\n

Evaluate: <\/strong>Consumption and production of merit goods<\/p>\n\n\n\n

Evaluate: <\/strong>Consumption and production of demerit goods<\/p>\n\n\n\n

1.<\/strong>2.10 Public goods<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Public goods, private goods and quasi-public goods<\/p>\n\n\n\n

Explain: <\/strong>The characteristics of a public good; non-excludability, non-diminishability\/non-rivalry, non-rejectability and zero marginal cost<\/p>\n\n\n\n

Explain: <\/strong>The free rider problem<\/p>\n\n\n\n

Evaluate: <\/strong>The provision of public goods<\/p>\n\n\n\n

1.<\/strong>2.11 Government intervention<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Government intervention in markets: Taxation, subsidies, government expenditure, price controls, buffer stock systems, public\/private partnerships, legislation, regulation, tradable pollution permits, information provision, competition policy<\/p>\n\n\n\n

Explain: <\/strong>Government failure<\/p>\n\n\n\n

Evaluate: <\/strong>The effectiveness of government intervention<\/p>\n\n\n\n

Evaluate: <\/strong>Causes and consequences of government failure
<\/strong><\/p>\n\n\n\n

1.<\/strong>3 Business Objectives<\/strong><\/p>\n\n\n\n

1.<\/strong>3.1 Business objectives<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Maximisation objectives: profit, sales revenue, sales volume, growth and utility<\/p>\n\n\n\n

Explain: <\/strong>Non-maximising objectives: profit satisficing, social welfare, corporate social responsibility (CSR)<\/p>\n\n\n\n

Explain: <\/strong>The principal-agent problem<\/p>\n\n\n\n

Evaluate: <\/strong>Maximisation and non-maximisation objectives<\/p>\n\n\n\n

Evaluate: <\/strong>Factors which influence the choice of objectives<\/p>\n\n\n\n

1.<\/strong>3.2 Costs and economies of scale<\/strong><\/p>\n\n\n\n

Explain and calculate: <\/strong>Fixed, variable, total, average, marginal costs<\/p>\n\n\n\n

Explain: <\/strong>Short run and long run in terms of fixed and variable factors<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The law of diminishing returns<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Internal and external economies of scale<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Diseconomies of scale<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Minimum efficient scale<\/p>\n\n\n\n

Evaluate: <\/strong>Causes of economies and diseconomies of scale<\/p>\n\n\n\n

Evaluate: <\/strong>The significance of economies and diseconomies of scale<\/p>\n\n\n\n

1.<\/strong>3.3 Revenue and profit<\/strong><\/p>\n\n\n\n

Explain and calculate: <\/strong>Total, average and marginal revenue<\/p>\n\n\n\n

Explain and calculate: <\/strong>Profit\/loss<\/p>\n\n\n\n

Explain: <\/strong>Accounting, normal and supernormal profit
<\/strong><\/p>\n\n\n\n

1.<\/strong>4 Market structures<\/strong><\/p>\n\n\n\n

1.<\/strong>4.1 Perfect competition<\/strong><\/p>\n\n\n\n

Explain: <\/strong>The characteristics of perfect competition<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Short run perfect competition; supernormal profit\/loss Explain, with the aid of a diagram: <\/strong>Long run perfect competition: normal profits<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Individual firm in perfect competition as a price taker<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Equilibrium price and output for a firm in perfect competition<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Allocative efficiency in short run and long run perfect competition<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Productive efficiency in long run perfect competition<\/p>\n\n\n\n

1.<\/strong>4.2 Monopoly<\/strong><\/p>\n\n\n\n

Explain: <\/strong>The characteristics of monopoly<\/p>\n\n\n\n

Explain: <\/strong>Dynamic efficiency<\/p>\n\n\n\n

Explain: <\/strong>X-inefficiency<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Monopoly; supernormal profit in both short and long run<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>A monopolist as a price maker<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Equilibrium price and output for a profit maximising monopolist<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Productive and allocative efficiency with a profit maximising monopolist<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Price discrimination by a firm with monopoly power <\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Natural monopoly<\/p>\n\n\n\n

Evaluate: <\/strong>Advantages and disadvantages of a monopoly<\/p>\n\n\n\n

Evaluate: <\/strong>Advantages and disadvantages of a natural monopoly<\/p>\n\n\n\n

1.<\/strong>4.3 Monopolistic competition<\/strong><\/p>\n\n\n\n

Explain: <\/strong>The characteristics of monopolistic competition<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Short run monopolistic competition; supernormal profit\/loss<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Long run monopolistic competition; normal profits<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Equilibrium price and output for a firm in monopolistic competition<\/p>\n\n\n\n

Evaluate: <\/strong>Advantages and disadvantages of monopolistic competition<\/p>\n\n\n\n

1.<\/strong>4.4 Oligopoly<\/strong><\/p>\n\n\n\n

Explain: <\/strong>The characteristics of oligopoly<\/p>\n\n\n\n

Explain: <\/strong>Non-price competition<\/p>\n\n\n\n

Explain: <\/strong>Interdependence: kinked demand curve<\/p>\n\n\n\n

Explain: <\/strong>Types of collusion<\/p>\n\n\n\n

Explain: <\/strong>Product differentiation<\/p>\n\n\n\n

Evaluate and calculate: <\/strong>Concentration ratios<\/p>\n\n\n\n

Evaluate: <\/strong>Advantages and disadvantages of oligopoly markets<\/p>\n\n\n\n

1.<\/strong>4.5 Contestable markets<\/strong><\/p>\n\n\n\n

Explain: <\/strong>The characteristics of a contestable market<\/p>\n\n\n\n

Explain: <\/strong>Productive and allocative efficiency in a contestable market<\/p>\n\n\n\n

Evaluate: <\/strong>Advantages and disadvantages of a contestable market
<\/strong><\/p>\n\n\n\n

1.<\/strong>5 The labour market<\/strong><\/p>\n\n\n\n

1.<\/strong>5.1 Demand for labour<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Derived demand for labour<\/p>\n\n\n\n

Explain: <\/strong>Factors affecting the demand for labour in an industry<\/p>\n\n\n\n

Explain: <\/strong>Factors affecting wage elasticity of demand for labour<\/p>\n\n\n\n

Explain: <\/strong>Productivity and unit labour costs<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong> Marginal revenue product theory in relation to employment and wage determination<\/p>\n\n\n\n

1.<\/strong>5.2 Supply of labour<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Factors affecting the supply of labour to an industry<\/p>\n\n\n\n

Explain: <\/strong>Factors affecting the wage elasticity of the supply of labour<\/p>\n\n\n\n

Explain: <\/strong>Short run and long run supply of labour<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Economic rent and transfer earnings<\/p>\n\n\n\n

1.<\/strong>5.3 The interaction of labour markets<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Wage differentials<\/p>\n\n\n\n

Explain: <\/strong>Monopsony<\/p>\n\n\n\n

Explain: <\/strong>Trade union<\/p>\n\n\n\n

Explain: <\/strong>Bilateral monopoly<\/p>\n\n\n\n

Explain, with the aid of a diagram: The determination of wages in a highly competitive labour market.<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Changes in demand for, and supply of, labour<\/p>\n\n\n\n

Evaluate: <\/strong>The impact of changes in labour market flexibility and mobility of labour<\/p>\n\n\n\n

Evaluate: <\/strong>The impact of trade union activity on labour markets<\/p>\n\n\n\n

Evaluate: <\/strong>The impact of a monopsonist employer on a labour market<\/p>\n\n\n\n

Evaluate: <\/strong>The impact of a bilateral monopoly on a labour market<\/p>\n\n\n\n

2.1 Aggregate demand and aggregate supply<\/strong><\/p>\n\n\n\n

2.1.1 <\/strong>Circular flow of income<\/strong><\/p>\n\n\n\n

Explain: <\/strong>The circular flow of income, with injections and leakages<\/p>\n\n\n\n

Explain: <\/strong>The methods of measuring national income, output and expenditure<\/p>\n\n\n\n

2.<\/strong>1.2 Aggregate demand<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Aggregate demand and its components<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The relationship between aggregate demand and price level<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Shifts in the aggregate demand curve<\/p>\n\n\n\n

Evaluate: <\/strong>The relationship between changes in income and consumption<\/p>\n\n\n\n

Evaluate: <\/strong>The role of expectations<\/p>\n\n\n\n

2.<\/strong>1.3 Aggregate supply<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Aggregate supply<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The relationship between aggregate supply and price level in the short run and long run<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Shifts in the aggregate supply curve in the short run and long run<\/p>\n\n\n\n

2.1.4 The interaction of aggregate demand and supply<\/strong><\/strong><\/p>\n\n\n\n

Explain: <\/strong>The assumptions underlying the aggregate demand and aggregate supply models<\/p>\n\n\n\n

Explain: <\/strong>Equilibrium in the macroeconomy<\/p>\n\n\n\n

Evaluate: <\/strong>Effects of changes in aggregate demand and aggregate supply on macroeconomic indicators<\/p>\n\n\n\n

2.<\/strong>1.5 The multiplier and the accelerator<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Factors which determine the size of the national income multiplier<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The national income multiplier and accelerator<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The impact of the national income multiplier and accelerator on aggregate demand and economic cycle<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Output gaps; aggregate demand and aggregate supply model and a production possibility curve (PPC)<\/p>\n\n\n\n

Explain and calculate: <\/strong>Average and marginal propensities to consume, save and withdraw<\/p>\n\n\n\n

Explain and calculate: <\/strong>Size of the national income multiplier<\/p>\n\n\n\n

Evaluate: <\/strong>Causes and consequences of an output gap<\/p>\n\n\n\n

2.<\/strong>2 Economic policy objectives<\/strong><\/p>\n\n\n\n

2.2.1 Economic growth<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Economic growth<\/p>\n\n\n\n

Explain: <\/strong>The policy objective of economic growth<\/p>\n\n\n\n

Explain: <\/strong>The different stages of the economic cycle<\/p>\n\n\n\n

Explain: <\/strong>Real and nominal Gross Domestic Product (GDP); changes in GDP over time<\/p>\n\n\n\n

Explain and calculate: <\/strong>Economic growth rates<\/p>\n\n\n\n

Explain and calculate: <\/strong>GDP per capita<\/p>\n\n\n\n

Explain, with the aid of a diagram:<\/strong>Short run and long run economic growth<\/p>\n\n\n\n

Evaluate:<\/strong> Causes and consequences of economic growth in the short run and long run<\/p>\n\n\n\n

2.<\/strong>2.2 Development<\/strong><\/p>\n\n\n\n

Explain: <\/strong>The structure of an economy in terms of primary, secondary and tertiary sectors<\/p>\n\n\n\n

Explain: <\/strong>The policy objective of sustainable development<\/p>\n\n\n\n

Evaluate: <\/strong>The relationship between economic growth and sustainable development<\/p>\n\n\n\n

Evaluate: <\/strong>The usefulness of macroeconomic measures such as GDP, the Human Development Index (HDI) and other alternative social and cultural indicators<\/p>\n\n\n\n

2.2.3 Employment<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Employment and unemployment<\/p>\n\n\n\n

Explain: <\/strong>The policy objective of full employment<\/p>\n\n\n\n

Explain: <\/strong>The labour force survey and claimant count measures of unemployment<\/p>\n\n\n\n

Evaluate: <\/strong>Causes and consequences of unemployment<\/p>\n\n\n\n

Evaluate: <\/strong>Effects of full employment<\/p>\n\n\n\n

2.<\/strong>2.4 Inflation<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Inflation, deflation, disinflation and hyperinflation<\/p>\n\n\n\n

Explain: <\/strong>The policy objective of low and stable inflation<\/p>\n\n\n\n

Explain: <\/strong>Real and nominal values<\/p>\n\n\n\n

Explain: <\/strong>Measuring inflation using the Consumer Prices Index and Retail Prices Index<\/p>\n\n\n\n

Explain and calculate: <\/strong>The rate of inflation using index numbers<\/p>\n\n\n\n

Evaluate: <\/strong>Causes and consequences of inflation and deflation<\/p>\n\n\n\n

2.<\/strong>2.5 Balance of payments<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Balance of payments<\/p>\n\n\n\n

Explain: <\/strong>The components of the current account: trade in goods, trade in services, primary and secondary income<\/p>\n\n\n\n

Explain: <\/strong>The policy objective of a sustainable balance of payments position<\/p>\n\n\n\n

Explain: <\/strong>Imbalances on the balance of payments<\/p>\n\n\n\n

Explain and calculate: <\/strong>Balances on the different components on the balance of payments<\/p>\n\n\n\n

Evaluate: <\/strong>Causes and consequences of imbalances on the balance of payments<\/p>\n\n\n\n

2.<\/strong>2.6 Trends in macroeconomic indicators<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Key trends in UK macroeconomic performance in the last 20 years<\/p>\n\n\n\n

Evaluate: <\/strong>The current performance of the UK economy compared with other developed economies, emerging and developing economies<\/p>\n\n\n\n

2.<\/strong>2.7 Income distribution and welfare<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Income and wealth; distribution and inequality<\/p>\n\n\n\n

Explain: <\/strong>The policy objective of a more even distribution of income<\/p>\n\n\n\n

Explain: <\/strong>Absolute and relative poverty<\/p>\n\n\n\n

Explain: <\/strong>Inequality data; Gini coefficients and relevant quartiles<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The distribution of income (Lorenz curve)<\/p>\n\n\n\n

Evaluate: <\/strong>Causes and consequences of poverty and inequality<\/p>\n\n\n\n

2.<\/strong>2.8 The Phillips Curve<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Natural rate of unemployment; non-accelerating inflation rate of unemployment (NAIRU)<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Keynesian and neo-classical approaches to aggregate supply<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Sort-run and long-run Phillips Curve<\/p>\n\n\n\n

Evaluate: <\/strong>The usefulness of the Phillips Curve for macroeconomic policymakers<\/p>\n\n\n\n

2.<\/strong>3 Implementing policy<\/strong><\/p>\n\n\n\n

2.<\/strong>3.1 Fiscal policy<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Government budget<\/p>\n\n\n\n

Explain: <\/strong>Direct, indirect, progressive, proportional and regressive taxation<\/p>\n\n\n\n

Explain: <\/strong>Current and capital government expenditure<\/p>\n\n\n\n

Explain: <\/strong>Budget surplus, deficit and balanced budget<\/p>\n\n\n\n

Explain: <\/strong>Cyclical and structural budget position<\/p>\n\n\n\n

Explain: <\/strong>National and government debt<\/p>\n\n\n\n

Explain: <\/strong>Discretionary fiscal policy and automatic stabilisers<\/p>\n\n\n\n

Explain: <\/strong>Crowding out<\/p>\n\n\n\n

Explain: <\/strong>The Laffer curve<\/p>\n\n\n\n

Explain and calculate:<\/strong> Average and marginal tax rates<\/p>\n\n\n\n

Evaluate:<\/strong> The effectiveness of using fiscal policy to achieve the government\u2019s macroeconomic objectives<\/p>\n\n\n\n

2.<\/strong>3.2 Monetary policy<\/strong><\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Changes in interest rates<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Changes in money supply<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Inflation rate targets<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Quantitative easing<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Influence of exchange rates<\/p>\n\n\n\n

Evaluate: <\/strong>The effectiveness of using monetary policy to achieve the government\u2019s macroeconomic objectives<\/p>\n\n\n\n

2.<\/strong>3.3 Supply side policy<\/strong><\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Privatisation, deregulation and subsidies<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Competition policy<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Investment in infrastructure, education, training, research and development<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Reforms of the tax and benefit system<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Improved labour market flexibility<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Immigration control<\/p>\n\n\n\n

Evaluate: <\/strong>The effectiveness of using supply side policy measures to achieve the government\u2019s macroeconomic objectives<\/p>\n\n\n\n

2.<\/strong>3.4 Policy conflicts<\/strong><\/p>\n\n\n\n

Evaluate: <\/strong>Conflicts and trade-offs between policy objectives<\/p>\n\n\n\n

2.<\/strong>4 The global context<\/strong><\/p>\n\n\n\n

2.<\/strong>4.1 International trade <\/strong><\/strong><\/p>\n\n\n\n

Explain: <\/strong>International trade<\/p>\n\n\n\n

Explain: <\/strong>Patterns of international trade over time<\/p>\n\n\n\n

Evaluate: <\/strong>Advantages and disadvantages of international trade to developed, emerging and developing countries<\/p>\n\n\n\n

2.<\/strong>4.2 Exchange rates<\/strong><\/p>\n\n\n\n

Explain and calculate: <\/strong>Exchange rates<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>Determination of exchange rates in fixed and floating exchange rate systems<\/p>\n\n\n\n

Evaluate: <\/strong>Causes and consequences of exchange rate changes<\/p>\n\n\n\n

Evaluate: <\/strong>Advantages and disadvantages of different exchange rate systems<\/p>\n\n\n\n

2.<\/strong>4.3 Globalisation<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Globalisation<\/p>\n\n\n\n

Explain: <\/strong>International competitiveness<\/p>\n\n\n\n

Explain: <\/strong>Absolute and comparative advantage<\/p>\n\n\n\n

Explain: <\/strong>Terms of trade<\/p>\n\n\n\n

Explain: <\/strong>Marshall-Lerner condition and J-curve<\/p>\n\n\n\n

Explain and calculate: <\/strong>Terms of trade<\/p>\n\n\n\n

Evaluate: <\/strong>Comparative advantage as an explanation of international trade patterns<\/p>\n\n\n\n

Evaluate: <\/strong>Causes and consequences of globalisation on developed, emerging and developing countries<\/p>\n\n\n\n

Evaluate: <\/strong>The impact of the performance of emerging economies on other economies<\/p>\n\n\n\n

2.<\/strong>4.4 Trade policies and negotiations<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Protectionism<\/p>\n\n\n\n

Explain: <\/strong>Economic integration through free trade areas, customs unions, monetary union, economic union<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The impact of tariffs and quotas on trade creation and trade diversion<\/p>\n\n\n\n

Evaluate: <\/strong>Advantages and disadvantages of protectionism and free trade<\/p>\n\n\n\n

Evaluate: <\/strong>The role of the World Trade Organisation (WTO) in promoting free trade<\/p>\n\n\n\n

2.<\/strong>5 The financial sector<\/strong><\/p>\n\n\n\n

2.<\/strong>5.1 Money and interest rates<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Functions and characteristics of money<\/p>\n\n\n\n

Explain: <\/strong>The creation and supply of money<\/p>\n\n\n\n

Explain: <\/strong>Narrow and broad money in terms of liquidity<\/p>\n\n\n\n

Explain: <\/strong>The relationship between the money supply and the price level; Fisher equation of exchange<\/p>\n\n\n\n

Explain, with the aid of a diagram: <\/strong>The determination of interest rates<\/p>\n\n\n\n

2.<\/strong>5.2 The financial sector<\/strong><\/p>\n\n\n\n

Explain: <\/strong>The role of the financial sector<\/p>\n\n\n\n

Explain: <\/strong>The role of savings and investment in promoting economic development<\/p>\n\n\n\n

Explain: <\/strong>The Harrod-Domar model<\/p>\n\n\n\n

Explain: <\/strong>Microfinance<\/p>\n\n\n\n

Evaluate: <\/strong>The role of the financial sector in promoting economic development<\/p>\n\n\n\n

2.<\/strong>5.3 Financial regulation<\/strong><\/p>\n\n\n\n

Students should be able to:<\/strong><\/p>\n\n\n\n

Explain: <\/strong>Purpose and methods of financial regulation<\/p>\n\n\n\n

Explain: <\/strong>The role and functions of a central bank<\/p>\n\n\n\n

Evaluate: <\/strong>The importance of the regulation of financial institutions<\/p>\n\n\n\n

Evaluate: <\/strong>The effectiveness of different policy measures available to a central bank in targeting macroeconomic indicators<\/p>\n\n\n\n

Evaluate: <\/strong>The role of the International Monetary Fund (IMF) and the World Bank in regulating the global financial system<\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

1.1 Introduction to Microeconomics 1.1.1 The economic problem Explain: Economic goods and free goods Explain: The economic problem: scarcity, choice, needs, and wants Explain: Normative and positive statements Explain: The role of economic agents: government, firms, and households Explain: The factors of production: land, labour, capital, and enterprise Explain: The rewards of the factors of […]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-11","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/thesilenteconomist.co.uk\/index.php?rest_route=\/wp\/v2\/pages\/11","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thesilenteconomist.co.uk\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/thesilenteconomist.co.uk\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/thesilenteconomist.co.uk\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/thesilenteconomist.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=11"}],"version-history":[{"count":18,"href":"https:\/\/thesilenteconomist.co.uk\/index.php?rest_route=\/wp\/v2\/pages\/11\/revisions"}],"predecessor-version":[{"id":32,"href":"https:\/\/thesilenteconomist.co.uk\/index.php?rest_route=\/wp\/v2\/pages\/11\/revisions\/32"}],"wp:attachment":[{"href":"https:\/\/thesilenteconomist.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=11"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}