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A Level Economics:

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Guess Paper for AS Level Economics Paper-2 and A2 Level Economics Paper-4 will be posted here 2 weeks before the commencement of Exams for June 2016.
 
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Can someone enlighten me on this

Between 1981 and 1995 the $/£ exchange rate fell from 2.00 to 1.50. Over this period the general price level in the US increased by 50%, while prices in the UK increased by 100%. What happened to the real $/£ exchange rate between 1981 and 1995?
 
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ALevelEconomicsArrangedPP3 - Chapter 1
 

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Economics for Cambridge International AS and A Level
Book by Clive Riches, Richard Taylor, and Terry Cook
PDF from the CD-ROM
 

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Dear Students,
The guess paper for AS & A Level Economics will be posted here a week before exams. Keep watching this thread. You may also post your problems here for discussion.
 
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Dear Students,
The guess paper for AS & A Level Economics will be posted here a week before exams. Keep watching this thread. You may also post your problems here for discussion.
I need help for AS Economics essay question. I'm quite confused while answering it. Any tips for it? Thanks!
 
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I need help for AS Economics essay question. I'm quite confused while answering it. Any tips for it? Thanks!

The 8 mark one is easy tbh, 12 mark is the real difficult one.So ill start with 8 Mark, First see what the question is about.For example:

Q(a).Explain, using elasticity of demand, why a train company might introduce a policy of raising fares at busy travel times and lowering fares at less busy travel times.(8)

ANS(a).make a format of it since 8 mark question is splited into 2.4 marks for intro and 4 for connecting to the case.

-Explain Price Elasticity Of Demand
-Formula for calculating PED, do explain the formula result.
-Elastic and Inelastic Demand Diagram( explain these as well or you can explain with the case connected)
This will complete you're intro and get you 4 marks.Let's come to the case part.

Now train company has introduced the policy of raising fares at busy times this will be inelastic demand for consumers as they will travel at whatever the price is since it is necessity for them.here you can connect with inelastic demand diagram and explain the diagram in reference to train fares and consumers response.

Now same goes for lowering fares, As there is no necessity of travel people will go by walk or many other ways so this is elastic demand and it is a luxury.As we know smaller change in price bring greater change in qty demand.So again connect the elastic diagram and explain it with reference to fares and consumers response.

Here is your 8 mark answer, I hope it helped.
 
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The 8 mark one is easy tbh, 12 mark is the real difficult one.So ill start with 8 Mark, First see what the question is about.For example:

Q(a).Explain, using elasticity of demand, why a train company might introduce a policy of raising fares at busy travel times and lowering fares at less busy travel times.(8)

ANS(a).make a format of it since 8 mark question is splited into 2.4 marks for intro and 4 for connecting to the case.

-Explain Price Elasticity Of Demand
-Formula for calculating PED, do explain the formula result.
-Elastic and Inelastic Demand Diagram( explain these as well or you can explain with the case connected)
This will complete you're intro and get you 4 marks.Let's come to the case part.

Now train company has introduced the policy of raising fares at busy times this will be inelastic demand for consumers as they will travel at whatever the price is since it is necessity for them.here you can connect with inelastic demand diagram and explain the diagram in reference to train fares and consumers response.

Now same goes for lowering fares, As there is no necessity of travel people will go by walk or many other ways so this is elastic demand and it is a luxury.As we know smaller change in price bring greater change in qty demand.So again connect the elastic diagram and explain it with reference to fares and consumers response.

Here is your 8 mark answer, I hope it helped.
Thank you so much! Any idea for the 12 mark question?
 
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Thank you so much! Any idea for the 12 mark question?
For the 12 mark one you need to give judgmental statement, so for that you need to talk about the whole case properly give both the sides +ve and -ve after you will conclude accordingly as which is relatively better.Okay but again if you need all 4 marks in conclusion you need a solid reason of choosing that and dont have something repeated or else you would loose marks.
 
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