Economics Questions Thread

[Deleted User]

Are you sure? Or is it strictly November 2011-November 2012?

[monkeywantsabanana]

Evaluating the effectiveness of budgetary policy and monetary policy as well as supply-side policies on the achievement of economic goals is no longer part of the course, is this correct?

[redxman]

Anybody have any particular hard questions?

[miraj753]

Not really a course question, but how many exams is everyone planning to complete?

[morantz]

I've done 4 so far and halfway thorugh my 5th. I'm aiming for 6 altogether from now til the exam.

[sam.utute]

I've done 4 so far and halfway thorugh my 5th. I'm aiming for 6 altogether from now til the exam.

Good job!
Doing tons of practice exams isn't essential for Economics (I did 0 after all).
What's important is practicing MC and your approach to the 6-8 mark questions.

[morantz]

I've done 4 so far and halfway thorugh my 5th. I'm aiming for 6 altogether from now til the exam.

Good job!
Doing tons of practice exams isn't essential for Economics (I did 0 after all).
What's important is practicing MC and your approach to the 6-8 mark questions.

God, do I dread those questions. They seem so difficult to obtain the full marks, considering they require a lot more prowess and knowledge when approaching them.

[Deleted User]

I've done 4 so far and halfway thorugh my 5th. I'm aiming for 6 altogether from now til the exam.

Good job!
Doing tons of practice exams isn't essential for Economics (I did 0 after all).
What's important is practicing MC and your approach to the 6-8 mark questions.

Is there a specific structure you should adopt when answering those questions? And how long should you spend on them?

[Deleted User]

When a questions asks about the "current" context (for example, the current policy mix), is it referring to the past 4 years or just the past year?

[morantz]

I've done 4 so far and halfway thorugh my 5th. I'm aiming for 6 altogether from now til the exam.

Good job!
Doing tons of practice exams isn't essential for Economics (I did 0 after all).
What's important is practicing MC and your approach to the 6-8 mark questions.

Is there a specific structure you should adopt when answering those questions? And how long should you spend on them?

My teacher suggests spending no more than 8 minutes for an 8 mark question. For 6 marks, a bit less.

When a questions asks about the "current" context (for example, the current policy mix), is it referring to the past 4 years or just the past year?

The budget is reviewed every year, with the monetary policy being considered every month. Therefore, when they refer to the 'current' relationship between the two, I'd think that they're talking about the past year. Questions relating to a 4-year period are usually relating to trends shown on a graph or providing and explaining a policy implemented recently.

[JCurmi]

Can someone give me a hand with this question from the 2011 exam?

With reference to the role of the price mechanism, describe how resources are allocated in a competitive market economy. 4 marks

[morantz]

Can someone give me a hand with this question from the 2011 exam?

With reference to the role of the price mechanism, describe how resources are allocated in a competitive market economy. 4 marks

In short form, this question requires you to state the fact that the price determines the quantity of goods and services supplied by the supplier, and the quantity of demand which is the amount of consumers who are able to afford the product. When the consumer and supplier come together to negotiate within the market, they would come to the equilibrium point where both parties agree on a price on the product and the quantity at which the supplier is willing to supply towards the amount of people able to buy the product, which have been narrowed down in the process.

[JCurmi]

Thanks ^

The assessment report says to mention relative prices. How would you link that?

[morantz]

Thanks ^

The assessment report says to mention relative prices. How would you link that?

Relative price is the cost of production of the product relative to its sale price. When relative prices rise, supply decreases and shifts to the left. This creates movement of demand on the supply curve towards the left. The equilibrium point is now higher than before in terms of price, and lower in terms of quantity supplied and demanded.  The opposite will occur when prices decrease. With this knowledge, all you have to state is how the change in prices change the behaviour of consumers and suppliers within the market.
Hope that helps.

[redxman]

Relative price is the cost of production of the product relative to its sale price. When relative prices rise, supply decreases and shifts to the left. This creates movement of demand on the supply curve towards the left. The equilibrium point is now higher than before in terms of price, and lower in terms of quantity supplied and demanded.  The opposite will occur when prices decrease. With this knowledge, all you have to state is how the change in prices change the behaviour of consumers and suppliers within the market.
Hope that helps.

I don't think that definition of prices is right. Relative Prices are the cost of one item compared to another. Sort of like a ratio. Relative Prices is like the thing in this course I don't understand, so I may be wrong.

Can we start making up hard questions for practice. I'll start

How can the principles of choice based on opportunity cost be related to the decisions parents with small children about whether or not to seek paid employment.