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AQA A-level Economics (7136)

Your specification in order, from 4.1.1 to the end. Each part lists the modules that teach it, so you can work down the page or jump to the topic you are revising.

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Start hereCeteris paribus4.1.1 Economic methodology and the economic problem

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4.1 Individuals, firms, markets and market failure

4.1.1 Economic methodology and the economic problem

4.1.1.1 Economic methodology

Ceteris paribusSay what ceteris paribus means and why economics, as a social science, needs itConcept · 6 min Positive and normative statementsTell a positive statement from a normative oneTell them apart · 6 min

4.1.1.2 The nature and purpose of economic activity

What economic activity is forSay what economic activity is for and the three questions every economy must answerConcept · 8 min Market, command and mixed economiesTell the three ways an economy can allocate resourcesTell them apart · 7 min

4.1.1.3 Economic resources

Factors of productionSort an input into the right factor of productionTell them apart · 6 min Renewable and non-renewable resourcesTell a renewable resource from a non-renewable one and say when a stock of each runs downTell them apart · 6 min

4.1.1.4 Scarcity, choice and the allocation of resources

Scarcity and choiceSay why every choice means giving something upConcept · 7 min Opportunity costSay what a choice costs, not just what it costs in moneyConcept · 6 min

4.1.1.5 Production possibility diagrams

The production possibility frontierRead a PPF and say what a point inside it meansDiagram · 7 min

4.1.2 Individual economic decision making

4.1.2.1 Consumer behaviour

Diminishing marginal utilityCalculate marginal utility from a total, and explain why falling marginal utility makes demand slope downConcept · 7 min Consumers, producers and governmentName the three economic agents, say what each is assumed to maximise, and spot each in a caseTell them apart · 6 min Budget constraints and utility maximisationChoose the best bundle a budget allows, where marginal utility per pound is equalDiagram · 8 min Do people actually decide rationally?Weigh the case each way on the rational-choice assumptionDebate · 7 min

4.1.2.2 Imperfect information

Asymmetric informationSay what asymmetric information is and how it breaks a marketConcept · 6 min Adverse selection and the market for lemonsExplain how hidden quality can shrink or destroy a marketHow it works · 9 min

4.1.2.3 Aspects of behavioural economic theory

Behavioural economics biasesName the bias at work in a consumer's choice and say how it moves that choiceTell them apart · 8 min Behavioural economics beyond the textbookJudge what prospect theory and present bias add to the rational modelDebate · 9 min

Also in the modules above: Do people actually decide rationally?

4.1.2.4 Behavioural economics and economic policy

Nudges and choice architectureName the tools of choice architecture and weigh a nudge against regulationDebate · 7 min

Also in the modules above: Behavioural economics beyond the textbook

4.1.3 Price determination in a competitive market

4.1.3.1 The determinants of the demand for goods and services

DemandTell demand from quantity demandedConcept · 6 min A shift in demandTell a shift in demand from a movement along the curveDiagram · 7 min Market demand and market supplyDraw market demand and market supply by adding individual curves across at each priceDiagram · 6 min

4.1.3.2 Price, income and cross elasticities of demand

Elastic and inelastic demandTell elastic demand from inelastic demandTell them apart · 6 min Income and cross elasticityTell a normal good from an inferior one, and a substitute from a complementTell them apart · 7 min Drawing elastic and inelastic curvesDraw elastic and inelastic curves and show what each does to a supply shiftDiagram · 7 min Calculating price elasticity of demandWork out a price elasticity of demand from two percentagesCalculation · 6 min Price elasticity and total revenueUse price elasticity to say whether a price change raises revenueCalculation · 7 min How firms and governments use elasticityWeigh how far elasticity helps firms and governments decideDebate · 8 min

4.1.3.3 The determinants of the supply of goods and services

SupplyTell supply from quantity suppliedConcept · 6 min A shift in supplyTell a shift in supply from a movement along the curveDiagram · 8 min

Also in the modules above: Market demand and market supply

4.1.3.4 Price elasticity of supply

Price elasticity of supplySay what makes a supply elastic or inelasticConcept · 7 min

4.1.3.5 The determination of equilibrium market prices

How a market finds its priceExplain how a market moves to its equilibrium priceHow it works · 6 min

4.1.3.6 The interrelationship between markets

Joint, competitive and composite demandName the link between two markets and trace a change in one through to the otherTell them apart · 6 min

4.1.4 Production, costs and revenue

4.1.4.1 Production and productivity

Labour productivityCalculate output per worker, output per hour and unit labour cost from a firm's figuresCalculation · 7 min

4.1.4.2 Specialisation, division of labour and exchange

Specialisation and the division of labourSay what specialisation is and why it raises outputConcept · 6 min What money is forName the functions of money and tell money from wealthConcept · 7 min

4.1.4.3 The law of diminishing returns and returns to scale

Diminishing marginal returnsExplain how diminishing marginal returns give short-run cost curves their shapeHow it works · 8 min Short-run and long-run cost curvesBuild the long-run average cost curve and find minimum efficient scaleDiagram · 7 min

4.1.4.4 Costs of production

Fixed and variable costsSort a cost into fixed or variableTell them apart · 6 min Average and marginal costWork out average and marginal cost from a total cost tableCalculation · 7 min

Also in the modules above: Diminishing marginal returns, Short-run and long-run cost curves, Labour productivity

4.1.4.5 Economies and diseconomies of scale

Economies of scaleSay what economies of scale are and name their sourcesConcept · 7 min

Also in the modules above: Short-run and long-run cost curves

4.1.4.6 Marginal, average and total revenue

Price elasticity and total revenueUse price elasticity to say whether a price change raises revenueCalculation · 7 min Total, average and marginal revenueWork out the three revenue measures from a demand scheduleCalculation · 7 min

4.1.4.7 Profit

Normal and supernormal profitTell normal profit from supernormal profitTell them apart · 6 min Profit maximisation where MC equals MRFind the profit-maximising output and read profit off the diagramDiagram · 8 min

4.1.4.8 Technological change

Technological change and creative destructionTrace how an innovation lowers costs, changes market structure and drives out older firmsHow it works · 7 min

4.1.5 Perfect competition, imperfectly competitive markets and monopoly

4.1.5.1 Market structures

Monopolistic competition and oligopolyTell the four market structures apartTell them apart · 6 min

4.1.5.2 The objectives of firms

The principal-agent problemExplain why managers may not run a firm in the owners’ interestConcept · 7 min Business objectivesName the objectives a firm may pursue and say whyTell them apart · 8 min Profit maximisation where MC equals MRFind the profit-maximising output and read profit off the diagramDiagram · 8 min Revenue and sales maximisation on a diagramDraw the profit-, revenue- and sales-maximising outputs on one diagram and name the rule for eachDiagram · 6 min

4.1.5.3 Perfect competition

Perfect competitionSay what makes a market perfectly competitiveConcept · 7 min Productive and allocative efficiencyTell productive from allocative efficiency and test each market structureTell them apart · 7 min Perfect competition in the short and long runShow how entry and exit take a competitive firm to long-run equilibriumDiagram · 7 min The shutdown pointDraw the shutdown point and say when a loss-making firm keeps producing, shuts down or leavesDiagram · 6 min

4.1.5.4 Monopolistic competition

Monopolistic competition in the short and long runShow how entry takes a monopolistic competitor from profit to normal profitDiagram · 7 min

Also in the modules above: Monopolistic competition and oligopoly

4.1.5.5 Oligopoly

Collusion and cartelsTell overt collusion from tacit collusion, and say why cartels break downTell them apart · 8 min Price and non-price competition in oligopolyTell price competition from non-price competition, and limit pricing from predatory pricingTell them apart · 7 min Game theory and the prisoner's dilemmaUse a payoff matrix to explain why two firms may not colludeHow it works · 7 min Nash equilibrium and the prisoner's dilemmaFind a Nash equilibrium and say why it can leave both players worse offHow it works · 9 min Repeated games and cooperationSay why repeating a game can sustain cooperation, and when it breaks downHow it works · 9 min The kinked demand curveDraw the kinked demand curve and explain why an oligopolist's price stays rigidDiagram · 7 min Concentration ratiosCalculate an n-firm concentration ratio and say what it showsCalculation · 7 min

Also in the modules above: Monopolistic competition and oligopoly

4.1.5.6 Monopoly and monopoly power

How a monopoly formsName the barriers to entry that create a monopolyConcept · 7 min X-inefficiencySay what X-inefficiency is and show it on an average cost diagramConcept · 7 min The monopoly diagramDraw a monopoly's price, output and profit, and show why it is inefficientDiagram · 6 min Natural monopolyDraw a natural monopoly and mark its profit-maximising, allocatively efficient and fair-return pricesDiagram · 7 min Is competition policy worth it?Weigh the case each way on breaking up a large firmDebate · 6 min

4.1.5.7 Price discrimination

Price discriminationSay what price discrimination is and what it needs to workConcept · 8 min

4.1.5.8 The dynamics of competition and competitive market processes

Technological change and creative destructionTrace how an innovation lowers costs, changes market structure and drives out older firmsHow it works · 7 min

4.1.5.9 Contestable and non-contestable markets

Contestable marketsSay what makes a market contestable and how it changes firms' behaviourConcept · 7 min

4.1.5.10 Market structure, static efficiency, dynamic efficiency and resource allocation

Dynamic efficiencySay what dynamic efficiency is and why supernormal profit can pay for itConcept · 7 min

Also in the modules above: Productive and allocative efficiency, The monopoly diagram, Monopolistic competition in the short and long run

4.1.5.11 Consumer and producer surplus

Consumer and producer surplusRead consumer and producer surplus off a diagramDiagram · 6 min

Also in the modules above: The monopoly diagram

4.1.6 The labour market

4.1.6.1 The demand for labour, marginal productivity theory

The demand for labourSay why the demand for labour is derived demandConcept · 7 min Wage elasticity of labour demand and supplyCalculate a wage elasticity of labour demand and say what makes labour demand and supply elasticTell them apart · 7 min Why wages differ between jobsExplain why two jobs in one economy pay differentlyHow it works · 7 min

4.1.6.2 Influences upon the supply of labour to different markets

The supply of labourSay what moves the supply of labour to an occupationConcept · 7 min The economic effects of migrationDraw how net migration shifts labour supply and LRAS, and say who gains and who losesDiagram · 7 min

Also in the modules above: Why wages differ between jobs

4.1.6.3 The determination of relative wage rates and levels of employment in perfectly competitive labour markets

How a wage is set in a competitive marketExplain how demand and supply settle a wageHow it works · 6 min

Also in the modules above: Why wages differ between jobs

4.1.6.4 The determination of relative wage rates and levels of employment in imperfectly competitive labour markets

MonopsonySay what a monopsony is and what it does to the wageConcept · 7 min Bilateral monopolyDraw a bilateral monopoly and show the range in which the wage settlesDiagram · 6 min Do trade unions raise wages?Weigh the case each way on union wage bargainingDebate · 6 min

4.1.6.5 The Influence of trade unions in determining wages and levels of employment

Covered in the modules above: Bilateral monopoly, Do trade unions raise wages?

4.1.6.6 The National Minimum Wage

Does a minimum wage cost jobs?Weigh the case each way on whether a minimum wage costs jobsDebate · 6 min

4.1.6.7 Discrimination in the labour market

Does discrimination survive a competitive market?Weigh the case each way on labour-market discriminationDebate · 6 min

4.1.7 The distribution of income and wealth: poverty and inequality

4.1.7.1 The distribution of income and wealth

Income and wealthTell income from wealth, name the sources of each, and compare how equally each is sharedTell them apart · 7 min The Lorenz curve and the Gini coefficientRead inequality off a Lorenz curve and say what a Gini number meansCalculation · 7 min Income and wealth inequalityExplain what causes inequality and weigh whether it harms an economyDebate · 8 min

4.1.7.2 The problem of poverty

Absolute and relative povertyTell absolute poverty from relative povertyTell them apart · 6 min The causes of povertyExplain how five causes push a household below the poverty lineHow it works · 7 min

4.1.7.3 Government policies to alleviate poverty and to influence the distribution of income and wealth

Policies to reduce inequalityName the policies that reduce inequality and weigh the case each wayDebate · 7 min

4.1.8 The market mechanism, market failure and government intervention in markets

4.1.8.1 How markets and prices allocate resources

Market, command and mixed economiesTell the three ways an economy can allocate resourcesTell them apart · 7 min What a price does: rationing, signalling, incentiveExplain the three jobs a price does in a marketHow it works · 6 min

4.1.8.2 The meaning of market failure

Market failureDefine market failure, name its types and say which way each misallocates resourcesConcept · 7 min

4.1.8.3 Public goods, private goods and quasi-public goods

Public goodsTell a public good from a private oneConcept · 6 min Governing the commonsExplain why a common resource is over-used and how it can be governedHow it works · 7 min

4.1.8.4 Positive and negative externalities in consumption and production

Negative externalitiesShow why a market over-produces when there is an external costDiagram · 8 min Positive externalitiesShow why a market under-produces when there is an external benefitDiagram · 7 min The Coase theoremJudge when bargaining can fix an externality without a taxDebate · 9 min

Also in the modules above: Governing the commons

4.1.8.5 Merit and demerit goods

Merit and demerit goodsTell a merit good from a demerit good, and both from a public goodTell them apart · 7 min Merit and demerit goods on a diagramDraw perceived and actual MPB for a merit and a demerit good, and shade the welfare lossDiagram · 6 min

4.1.8.6 Market imperfections

Asymmetric informationSay what asymmetric information is and how it breaks a marketConcept · 6 min Occupational and geographical immobilityTell occupational from geographical immobility, and explain how each causes structural unemploymentTell them apart · 7 min Adverse selection and the market for lemonsExplain how hidden quality can shrink or destroy a marketHow it works · 9 min

Also in the modules above: Merit and demerit goods on a diagram

4.1.8.7 Competition policy

Is competition policy worth it?Weigh the case each way on breaking up a large firmDebate · 6 min

4.1.8.8 Public ownership, privatisation, regulation and deregulation of markets

Privatisation, nationalisation and deregulationWeigh the case each way on selling or taking back public firmsDebate · 7 min How to regulate a monopolyCompare price caps, rate-of-return regulation and performance targets, and judge which suits a monopolyDebate · 7 min

4.1.8.9 Government intervention in markets

An indirect tax on a diagramShow what an indirect tax does to price and quantityDiagram · 7 min SubsidiesShow what a subsidy does to price and quantityDiagram · 7 min Price ceilings and price floorsSay what a binding ceiling or floor does to a marketDiagram · 6 min Tradable pollution permitsWeigh permits against a tax as a way of cutting pollutionDebate · 6 min Policies to correct externalitiesWeigh regulation, taxes, subsidies, provision and information against each otherDebate · 8 min

Also in the modules above: Governing the commons, The Coase theorem

4.1.8.10 Government failure

Government failureSay what government failure is and name the forms it takesConcept · 7 min Public choice and the median voterExplain why majority voting can produce outcomes few people wantHow it works · 9 min

4.2 The national and international economy

4.2.1 The measurement of macroeconomic performance

4.2.1.1 The objectives of government economic policy

Macroeconomic objectivesName the seven macroeconomic objectives, how the main ones are measured, and the UK inflation targetConcept · 7 min Do macro objectives conflict?Weigh the conflicts between growth, inflation and the balance of paymentsDebate · 7 min

4.2.1.2 Macroeconomic indicators

Reading the macroeconomic indicatorsName the main UK macroeconomic indicators and say what each one measuresTell them apart · 8 min Measuring inflation with a price indexBuild a price index and work out an inflation rate from itCalculation · 7 min

4.2.1.3 Uses of index numbers

Converting a nominal figure to a real oneConvert a nominal figure into a real oneCalculation · 6 min

Also in the modules above: Measuring inflation with a price index

4.2.1.4 Uses of national income data

What GDP measuresSay what GDP counts and what it leaves outConcept · 7 min Calculating GDP and GNICalculate GNI from GDP, then GNI per capita at purchasing power parityCalculation · 7 min Measuring developmentWork out an HDI-style measure and say what it adds to GDPCalculation · 7 min Alternative measures of well-beingName the four ONS well-being questions and say how far GDP measures how well people liveDebate · 7 min

4.2.2 How the macroeconomy works: the circular flow of income, aggregate demand/aggregate supply analysis and related concepts

4.2.2.1 The circular flow of income

Nominal and real numbersTell a nominal figure from a real oneConcept · 6 min What GDP measuresSay what GDP counts and what it leaves outConcept · 7 min What economic growth is, and what it is notTell growth from a recovery, and real growth from nominalConcept · 7 min The circular flow of incomeFollow a pound round the circular flow and name each leakHow it works · 7 min The Keynesian crossFind equilibrium income where planned spending equals outputDiagram · 8 min Converting a nominal figure to a real oneConvert a nominal figure into a real oneCalculation · 6 min

4.2.2.2 Aggregate demand and aggregate supply analysis

Aggregate demandSay what aggregate demand is and name its four partsConcept · 7 min Short-run and long-run aggregate supplyTell short-run aggregate supply from long-runTell them apart · 6 min Keynesian and classical aggregate supplyCompare the Keynesian and classical AS curves and what demand doesDiagram · 6 min Macroeconomic equilibrium in the AD/AS modelFind equilibrium on AD/AS and show what a shift doesDiagram · 6 min Demand-side and supply-side shocksShow on an AD/AS diagram how a demand shock and a supply shock change prices and outputDiagram · 7 min

4.2.2.3 The determinants of aggregate demand

Consumption, income and expectationsExplain how income, wealth, interest rates and expectations change household spending, and work out the MPC and APCHow it works · 7 min The acceleratorExplain how a change in the growth of output drives investment, and why the link has limitsHow it works · 7 min The determinants of investmentWork out net investment and explain how interest rates, confidence, credit and government move investmentHow it works · 7 min Net trade and aggregate demandSay what moves exports and imports, and how net trade shifts ADHow it works · 7 min Government spending and aggregate demandSay what drives government spending and how a change in it moves aggregate demandHow it works · 7 min

Also in the modules above: Aggregate demand

4.2.2.4 Aggregate demand and the level of economic activity

The multiplierWork out a multiplier and apply it to an injectionCalculation · 7 min

Also in the modules above: Consumption, income and expectations, The Keynesian cross

4.2.2.5 Determinants of short-run aggregate supply

What shifts short-run aggregate supplyTell a movement along short-run aggregate supply from a shift, and name what causes a shiftDiagram · 9 min

Also in the modules above: Short-run and long-run aggregate supply

4.2.2.6 Determinants of long-run aggregate supply

The economic effects of migrationDraw how net migration shifts labour supply and LRAS, and say who gains and who losesDiagram · 7 min

Also in the modules above: Short-run and long-run aggregate supply, Keynesian and classical aggregate supply

4.2.3 Economic performance

4.2.3.1 Economic growth and the economic cycle

What economic growth is, and what it is notTell growth from a recovery, and real growth from nominalConcept · 7 min Actual and potential growthShow a negative and a positive output gap on AD/ASDiagram · 7 min The trade cycleTrace real GDP through boom and recession, and name each phase's featuresDiagram · 6 min Demand-side and supply-side shocksShow on an AD/AS diagram how a demand shock and a supply shock change prices and outputDiagram · 7 min Sustainability and ethical choices in economicsCompare the evidence that growth runs down the environment with the evidence that it need notDebate · 6 min The costs and benefits of economic growthWeigh who gains and who loses from economic growthDebate · 6 min

4.2.3.2 Employment and unemployment

Measuring unemploymentSay who counts as unemployed and who does notConcept · 7 min Occupational and geographical immobilityTell occupational from geographical immobility, and explain how each causes structural unemploymentTell them apart · 7 min Types of unemploymentSort a case of unemployment into its typeTell them apart · 8 min The consequences of unemploymentTrace what unemployment costs workers, firms, government and societyHow it works · 6 min The long-run Phillips curveShow why the long-run Phillips curve is vertical at the natural rateDiagram · 7 min Labour market flexibilitySay how labour market flexibility helps firms and employment, and what it can cost workersDebate · 7 min

4.2.3.3 Inflation and deflation

Demand-pull and cost-push inflationTell demand-pull inflation from cost-pushTell them apart · 6 min Deflation, disinflation and hyperinflationTell deflation from disinflation, and hyperinflation from ordinary inflationTell them apart · 7 min The costs of inflation and deflationExplain who loses and who gains from inflation and deflationHow it works · 7 min The quantity theory of moneyExplain how MV = PY leads monetarists to blame inflation on money growth, and why velocity undermines itHow it works · 8 min How a weaker currency reaches a shop priceFollow a fall in the exchange rate through to what a shopper paysHow it works · 6 min The Fisher equationCalculate a real interest rate from a nominal rate and inflation, and say who gainsCalculation · 7 min

Also in the modules above: The long-run Phillips curve, Demand-side and supply-side shocks

4.2.3.4 Possible conflicts between macroeconomic policy objectives

The Phillips curveRead the trade-off between unemployment and inflation off a Phillips curveDiagram · 6 min Do macro objectives conflict?Weigh the conflicts between growth, inflation and the balance of paymentsDebate · 7 min

Also in the modules above: Actual and potential growth, The long-run Phillips curve

4.2.4 Financial markets and monetary policy

4.2.4.1 The structure of financial markets and financial assets

What money is forName the functions of money and tell money from wealthConcept · 7 min Functions of the financial sectorName what the financial sector does and which firms do itTell them apart · 7 min Narrow and broad moneySay whether an asset counts in narrow money, broad money, both or neither, and say whyTell them apart · 6 min Quantitative easingTrace how bond buying by the Bank of England reaches spendingHow it works · 7 min Bond prices and yieldsCalculate a bond's yield from its coupon and price, and say which way it movesCalculation · 8 min Present value and discountingWork out what a future sum is worth todayCalculation · 9 min

4.2.4.2 Commercial banks and investment banks

A bank's balance sheetRead a bank's balance sheet, work out its capital, and say why liquidity costs profitConcept · 7 min How banks create moneyExplain how one deposit becomes more money in the banking systemHow it works · 7 min

4.2.4.3 Central banks and monetary policy

Macroeconomic objectivesName the seven macroeconomic objectives, how the main ones are measured, and the UK inflation targetConcept · 7 min Monetary policySay what monetary policy is and who sets itConcept · 7 min The functions of a central bankName the functions of a central bank and spot which one a case showsConcept · 7 min The transmission mechanismFollow an interest-rate change through to inflationHow it works · 6 min Does monetary policy work?Weigh the case each way on using interest rates to steer the economyDebate · 7 min

Also in the modules above: Quantitative easing

4.2.4.4 The regulation of the financial system

Asymmetric informationSay what asymmetric information is and how it breaks a marketConcept · 6 min Market failure in the financial sectorName the five market failures in the financial sector and spot which one a case showsTell them apart · 7 min Was financial regulation after 2008 worth it?Weigh the case each way on tighter bank regulationDebate · 7 min

Also in the modules above: The functions of a central bank, A bank's balance sheet

4.2.5 Fiscal policy and supply-side policies

4.2.5.1 Fiscal policy

Fiscal policySay what fiscal policy is and which way each tool pullsConcept · 6 min Automatic stabilisersSay what an automatic stabiliser is and name twoConcept · 6 min The budget deficit and the national debtTell a deficit from a debt, and cyclical from structuralConcept · 8 min Progressive, proportional and regressive taxesClassify a tax by what share of income it takesTell them apart · 8 min Current and capital spendingSay which type any item of UK public spending is, and name the taxes that raise mostTell them apart · 7 min Crowding outExplain how government borrowing can squeeze out private investmentHow it works · 6 min Does fiscal policy work?Weigh the case each way on using tax and spending to steer demandDebate · 7 min Does the national debt matter?Explain when a large national debt harms an economy and when it does notDebate · 7 min Does the size of the state matter?Explain how the share of national income the state spends can help or harm growth, living standards and equalityDebate · 6 min

4.2.5.2 Supply-side policies

Supply-side policyTell a market-based supply-side policy from an interventionist oneTell them apart · 6 min The Laffer curveDraw a Laffer curve and say when a tax cut raises revenueDiagram · 6 min Does supply-side policy work?Weigh the case each way on whether supply-side policy raises growthDebate · 6 min Privatisation, nationalisation and deregulationWeigh the case each way on selling or taking back public firmsDebate · 7 min

4.2.6 The international economy

4.2.6.1 Globalisation

GlobalisationExplain how cheaper transport, cheaper communication, lower trade barriers and multinationals drove globalisationHow it works · 6 min Is globalisation good for developing economies?Weigh the case each way on globalisation and developmentDebate · 8 min Multinational companiesSay what a multinational brings to a host country, what it can cost, and what the balance depends onDebate · 6 min

4.2.6.2 Trade

Trade blocs and the WTOTell the stages of economic integration apartConcept · 7 min Quotas and non-tariff barriersTell a tariff from a quota and the other non-tariff barriersTell them apart · 6 min Why countries tradeExplain how both countries gain from specialising and tradingHow it works · 7 min Changing patterns of world tradeExplain how emerging economies, shifting comparative advantage, trading blocs and exchange rates change who trades whatHow it works · 7 min TariffsShow what a tariff does to price, quantity and welfareDiagram · 7 min Is joining a trading bloc worth it?Show trade creation and trade diversion on a diagram and say when joining a customs union raises welfareDiagram · 6 min Absolute and comparative advantageWork out which country has the comparative advantageCalculation · 7 min Arguments for protectionismWeigh the arguments for protectionism against its costsDebate · 8 min

4.2.6.3 The balance of payments

The balance of paymentsSay what the current account records and what a deficit meansConcept · 8 min Correcting a current account deficitSort policies to cut a current account deficit by how they workTell them apart · 7 min The J-curve and Marshall-LernerExplain why a depreciation can worsen the current account before improving itDiagram · 7 min International competitivenessCalculate relative unit labour costs and relative export prices, and say what moves themCalculation · 6 min Causes and consequences of a current account deficitExplain what causes a current account deficit and judge whether it mattersDebate · 7 min

4.2.6.4 Exchange rate systems

Floating and fixed exchange ratesTell a floating exchange rate from a fixed oneTell them apart · 6 min Exchange rate determinationShow on a diagram what makes a floating exchange rate moveDiagram · 7 min Currency unions and the eurozoneSay what a country gains and gives up by sharing a currency, and what the balance depends onDebate · 6 min Competitive devaluationExplain the short-run gain from competitive devaluation, name its costs, and say what its success depends onDebate · 6 min

4.2.6.5 Economic growth and development

Alternative measures of developmentName the measures beyond the HDI and say what each shows that an average hidesConcept · 7 min Barriers to developmentTell economic barriers to development from non-economic ones, and say how each holds growth backTell them apart · 7 min The determinants of investmentWork out net investment and explain how interest rates, confidence, credit and government move investmentHow it works · 7 min Measuring developmentWork out an HDI-style measure and say what it adds to GDPCalculation · 7 min Does foreign aid work?Give the case for and against foreign aid, with evidence, and say what its success depends onDebate · 6 min Export promotion and import substitutionCompare import substitution with export promotion and say what made each succeed or failDebate · 6 min The IMF and the World BankExplain what the IMF and World Bank lend for, and give the case for and against their conditionsDebate · 7 min MicrofinanceExplain why the poor cannot borrow from banks, and give the evidence for and against microfinanceDebate · 7 min

Also in the modules above: Is globalisation good for developing economies?

Sections and codes follow the AQA A-level Economics (7136) specification, Version 1.3, 29 June 2022 (exams June 2016 onwards). Parts of the specification with no module yet are not listed.