EDEXCEL INTERNATIONAL ADVANCE LEVEL ECONOMICS
TOPICAL PAST PAPER QUESTIONS
UNIT 1 Markets in action
1.1.1 The nature of economics
1.1.2 Positive and normative economics
1.1.3 Scarcity
1.1.4 Production possibility frontiers
1.1.5 Specialisation and the role of money and financial markets
1.1.6 Free market, mixed and command economies
1.2.1 Rational decision making
1.2.2 The demand curve
1.2.3 Price, income and cross-elasticities of demand
1.3.1 The supply curve
1.3.2 Price elasticity of supply
1.4.1 Determination of market equilibrium
1.4.2 Consumer and producer surplus
1.4.3 Functions of the price mechanism
1.4.4 Indirect taxes and subsidies
1.5.1 Sources of market failure
1.5.2 Positive and negative externalities
1.5.3 Non-provision of public goods
1.5.4 Imperfect market information
1.5.5 Moral hazard
1.5.6 Speculation and market bubbles
1.6.1 Purpose and methods of government intervention
1.6.2 Government failure
UNIT 2 Macroeconomic performance and policy
2.1.1 Economic growth
2.1.2 Inflation
2.1.3 Employment and unemployment
2.1.4 Balance of payments
2.2.1 The characteristics of AD
2.2.2 Consumption (C)
2.2.3 Investment (I)
2.2.4 Government expenditure (G)
2.2.5 Net trade balance (X−M)
2.3.1 The characteristics of AS
2.3.2 Short-run AS (SRAS)
2.3.3 Long-run AS (LRAS)
2.4.1 National income
2.4.2 Injections and withdrawals
2.4.3 Equilibrium level of real output
2.4.4 The multiplier
2.5.1 Causes of growth
2.5.2 Benefits of growth
2.5.3 Costs of growth
2.5.4 Output gaps
2.6.1 Macroeconomic objectives
2.6.2 Possible conflicts between macroeconomic objectives
2.6.3 Macroeconomic supply-side policies
2.6.4 Macroeconomic demand-side policies
UNIT 3 Business behaviour
3.1.1 Types of business
3.1.2 Size of businesses
3.1.3 Business objectives
3.2.1 Revenue
3.2.2 Costs
3.2.3 Economies and diseconomies of scale
3.2.4 Profits and losses
3.3.1 Efficiency
3.3.2 Concentration ratio
3.3.3 Perfect competition
3.3.4 Monopolistic competition
3.3.5 Oligopoly
3.3.6 Monopoly
3.3.7 Monopsony
3.3.8 Contestability
3.4.1 The demand for labour
3.4.2 The supply of labour
3.4.3 The determination of wage rates in competitive and non-competitive markets
3.4.4 Market failure in the labour market
UNIT 4 Developments in the global economy
4.1.1 Characteristics of globalisation
4.1.2 Causes of globalisation
4.1.3 Effects of globalisation
4.2.1 Specialisation and comparative advantage
4.2.2 Patterns and volume of world trade
4.2.3 Terms of trade
4.2.4 Trade liberalisation and trading blocs
4.2.5 Restrictions on free trade
4.3.1 Balance of payments
4.3.2 Exchange rates
4.3.3 International competitiveness
4.4.1 Poverty
4.4.2 Inequality
4.5.1 Public expenditure
4.5.2 Taxation
4.5.3 Public sector borrowing and public sector debt
4.5.4 Macroeconomic policies
4.6.1 Measures of economic development
4.6.2 Constraints on growth and development
4.6.3 Measures to promote growth and development