Description
Economics As Level Revision Notes Series By Zain Mushtaq
TABLE OF CONTENT
UNIT 1 BASIC ECONOMIC PROBLEM AND PPC
Needs vs Wants
Factor of production and factor Reward/Payment
Role of enterprise in a modern economy
The Basic Economic Problem/Fundamental economic Problem/Problem of scarcity
Opportunity cost
Production possibility curves
Shape of PPC
Production points
Shifts in PPC
Consumer goods vs capital goods
Resource allocation
Economic systems
Private and Public Sectors
Market System
Planned System
Mixed System
Positive and normative statements
Specialization and division of labor
UNIT 2 DEMAND AND SUPPLY CURVES
Market
Demand
Non-Price Determinants of demand
Supply
Non-Price Determinants of Supply
Market Equilibrium
Excess supply
Excess demand
Microeconomics Equilibrium Shifts
UNIT 3 ELASTICITIES
Price elasticity of demand (PED)
Determinants of PED
Other degrees of PED
Price elasticity of demand and Total Revenue
Price elasticity of demand along the demand curve
Income elasticity of demand (YED)
Cross elasticity of demand (XED)
Price elasticity of supply (PES)
Determinants of PES
Other degrees of PES
Business use and limitations of all elasticites
PED
PES
XED
YED
Limitations
Government use of PED and PES
Subsidy
UNIT 4 GOVERNMENT MICROECONOMIC INTERVENTION
Free goods, private goods (economic goods) and public goods
Public goods
Merit Goods, Demerit Goods as the outcome of imperfect information by the consumers
Merit Goods
De-Merit Goods
Consumer surplus
Producer surplus
Social/Society Surplus
Price Controls (Maximum and Minimum Prices)
Maximum Price (Price Ceiling) and Market impact
Minimum Price (Price Floor) and Market Impact
Indirect taxes
Indirect Taxation-Market Impact
Subsidy-Market Impact
Direct Provision of Goods and Services
Buffer stock schemes
Resource allocation in different economic systems and issue of transition
Economics systems/Systems of resource allocation
Market System
Planned System
UNIT 5 ADDRESSING INCOME AND WEALTH INEQUALITY
Income and wealth
Measuring income and wealth inequality
Reasons for inequality
Policies to redistribute income and wealth
Transfer payments
State provision of essential goods and services
UNIT 6 NATIONAL INCOME STATISTICS
National income statistics
Circular flow of income
Ways of calculating GDP
UNIT 7 AGGREGATE DEMAND AND AGGREGATE SUPPLY ANALYSIS AND PRICE STABILITY
Aggregate Demand
Shifts in AD
Aggregate Supply
Classical Interpretation
Keynes Model (John Maynard Keynes)
Disagreement about Flexibility of wages
Shifts of LRAS is dependent on
Macroeconomic equilibrium
Inflation
Money Value vs Real Value
Measuring inflation using CPI (Consumer Price Index)
Causes if inflation
Demand-pull inflation
Cost-push inflation
Consequences of inflation
Deflation
Supply side deflation (Good deflation)
Demand side deflation (Bad deflation)
UNIT 8 ECONOMIC GROWTH
Nominal GDP vs Real GDP
Real GDP per head Actual versus Potential Growth
Consequences of economic growth
Recession
UNIT 9 UNEMPLOYMENT
Measures of unemployment
Causes and types of unemployment
Consequences of unemployment
UNIT 10 EXCHANGE RATES
Exchange rate
Free Floating Exchange Rate System
Determination of foreign exchange rate
The consequences of a fall in exchange rate (Depreciation)
The consequences of a rise in exchange rate (Appreciation)
UNIT 11 CURRENT ACCOUNT OF THE BALANCE OF PAYMENTS
Current account
Causes and consequences of current account deficit
Consequences of current account deficit
Causes and consequences of current account surplus Consequences of current account surplus
UNIT 12 TRADE PROTECTIONISM AND TERM OF TRADE
Assumptions
Absolute Advantage
Comparative Advantage
Absolute Advantage
Comparative Advantage
Limitations of this model
Free Trade
Benefits of free trade
Free Trade Diagram
Protectionism
Methods of protection and their impact
Tariffs
The terms of trade (TOT)
Movements in TOT
Factors affecting terms of trade
Short-Run Cause
Long-Run Cause
The impact of changes in terms of trade on balance of trade
Policies to correct imbalances in the current of the balance of payments
UNIT 13 GOVERNMENT MACROECONOMIC POLICY OBJECTIVES
Macroeconomic objectives
Fiscal Policy
Taxation
Tax systems
Direct Tax vs Indirect tax
Impact of direct taxes
Advantages
Canons of taxation
Reasons for taxation
Government Spending
Fiscal policy and LRAS
The Budget Position
Monetary Policy
Types of monetary policy
Monetary Policy and LRAS
Supply side policy measures
Estimate shipping
Refund Policy
We have a 30-day return policy, which means you have 30 days after receiving your item to request a return.
To be eligible for a return, your item must be in the same condition that you received it, unworn or unused, with tags, and in its original packaging. You’ll also need the receipt or proof of purchase.
To start a return, you can contact us at induspublishinghouse@gmail.com. Please note that returns will need to be sent to the following address: [INSERT RETURN ADDRESS]
If your return is accepted, we’ll send you a return shipping label, as well as instructions on how and where to send your package. Items sent back to us without first requesting a return will not be accepted.
You can always contact us for any return question at induspublishinghouse@gmail.com.
Damages and issues
Please inspect your order upon reception and contact us immediately if the item is defective, damaged or if you receive the wrong item, so that we can evaluate the issue and make it right.
Exceptions / non-returnable items
Certain types of items cannot be returned, like perishable goods (such as food, flowers, or plants), custom products (such as special orders or personalized items), and personal care goods (such as beauty products). We also do not accept returns for hazardous materials, flammable liquids, or gases. Please get in touch if you have questions or concerns about your specific item.
Unfortunately, we cannot accept returns on sale items or gift cards.
Exchanges
The fastest way to ensure you get what you want is to return the item you have, and once the return is accepted, make a separate purchase for the new item.
European Union 14 day cooling off period
Notwithstanding the above, if the merchandise is being shipped into the European Union, you have the right to cancel or return your order within 14 days, for any reason and without a justification. As above, your item must be in the same condition that you received it, unworn or unused, with tags, and in its original packaging. You’ll also need the receipt or proof of purchase.
Refunds
We will notify you once we’ve received and inspected your return, and let you know if the refund was approved or not. If approved, you’ll be automatically refunded on your original payment method within 10 business days. Please remember it can take some time for your bank or credit card company to process and post the refund too.
If more than 15 business days have passed since we’ve approved your return, please contact us at induspublishinghouse@gmail.com.