Theme 2 & 4: Essay Plan - Monetary and supply side policies

Here is a video recording of a revision webinar looking at shaping an answer to this 25 mark question. 

“Monetary policy is as important as supply-side policies in making a country more internationally competitive” With reference to examples, to what extent to you agree?

Theme 4: 25 mark essay question on tariffs

Here is a timely and relevant revision video looking at how to build a 25 mark answer to this essay question: 

"President Trump has proposed a 20% tariff on Mexican imports, blaming free trade for US woes. To what extent is this going to harm the US economy more than it helps?"

Theme 3 & 4: Nestle leaving UK to move to Poland!

When it comes to the crunch, capital flows to where the risk-adjusted expected returns are highest. 

Several hundred jobs are at risk in the UK as Nestle announces that production of the Blue Riband chocolate bar is moving from Britain to Poland. Lower unit labour costs, favourable corporate tax rates and a competitive zloty (a floating currency) are three factors behind the move.

Click here to read a Guardian article on this. 

Theme 3: Contestable Markets essay

Here is an essay plan using the PECAN PIE technique for developing an answer to this question: "Neo-classical theory of competition implies that more firms in a market is the only way to improve outcomes for consumers”. With reference to examples, to what extent do you agree? (25 marks)

Theme 1: Cross Price elasticity of demand - evaluation

In this short video we build 3 analysis and evaluation points for this question: "Evaluate the significance of the coefficient of cross price elasticity for a business"

All themes: How to tackle the new spec examination

Edexcel A level economics exam advice from mattbentley34

Theme 2 & 4: Monetary Policy - How it works

Monetary policy from mattbentley34

Theme 3: Natural Monopolies - evaluation

Here is a short video building analysis and evaluation arguments on this question: "Evaluate the impact of the existence of a natural monopoly on consumer welfare"

All Themes: Labour markets - all you need to know

Unemployment and economic inactivity in the UK labour market are falling, but when we disaggregate the market we find that there remain persistent issues including risks of extreme poverty, labour immobility, skills shortages and the issues facing workers in vulnerable jobs perhaps facing a monopsony employer. This short revision video looks at the problems in accurately measuring the marginal revenue product from employing an extra worker. This short revision video looks at a numerical example of the difference between the average and marginal cost of employing extra workers when a business has to raise the average wage to expand their workforce. Monopsony is a labour market structure in which there is a single powerful buyer of a particular type of labour. For example, the main buyer of the labour of doctors and nurses is the NHS or large employers such as Capita, G4S, Amazon and Sports Direct. Trade Unions may use their collective bargaining power and bid for employers to pay a premium wage (or “wage mark-up”) above the normal competitive market wage. However, this might lead to an excess supply of labour and a contraction of total employment. This short revision video takes students through the basic analysis and some core evaluation arguments. A trade union is an organised group of employees who work together to represent and protect the rights of workers, usually by using collective bargaining techniques. This short revision video looks at the key roles of trade unions and the long term trend in union membership in the UK labour market.

All themes: Trade Unions and the Labour Market

Theme 4: Economic growth & development in India

An excellent podcast on growth and development in India. A MUST read/listen for Year 13 students.

Theme 1: Positive externalities - breakfast & education

Definition of Positive Externality: This occurs when the consumption or production of a good causes a benefit to a third party. For example: When you consume education you get a private benefit. But there are also benefits to the rest of society.

A good example of positive externalities from a government initiative.....

Providing school breakfasts free to all children in disadvantaged English primary schools helps them to make two months’ additional progress in reading, writing and mathematics over the course of a year. This is the central finding of research by Christine Farquharson of the Institute for Fiscal Studies, presented at the Royal Economic Society's annual conference at the University of Bristol in April 2017. 

In the study, the Education Endowment Foundation funded the charity Magic Breakfast so that 53 schools could establish breakfast clubs in 2014/15 at a total cost of £25 per eligible pupil. The Institute for Fiscal Studies analysed the results by comparing the schools offering breakfast clubs to similar schools, and finds that children aged 6 and 7 made an additional two months' progress in core subjects. Children aged 10 and 11 made similar gains in English.

These gains seem to be driven by fewer illness-related absences and by better behaviour and concentration in the classroom, meaning that even students who don’t eat breakfast at school can benefit from the improved learning environment.

The author comments: ‘The improvement in classroom behaviour and concentration in schools randomly selected for Magic Breakfast support is exceptional. In the policy-making world, the effect of Magic Breakfast provision is as close to magic as an intervention can get.’

Theme 2: AS Practise Paper - mark scheme

Edexcel Practise AS Paper - Theme 2 Mark Scheme from mattbentley34

Theme 2: Purchasing Power Parity

Purchasing power parity from Tata Mutual Fund