Welcome to PAS CLASS IB
1: Explain why structural unemployment might occur in an economy. 2: Explain why a high rate of inflation may negatively affect both a country’s export competitiveness and the level of capital investment by firms. 3: Explain the cause of cyclical (demand-deficient) unemployment. 4: Discuss the view that the most significantRead More
1: Using the concept of the multiplier, explain how an increase in investment might affect aggregate demand. 2: Explain the possible impact of an increase in wealth and consumer confidence on aggregate demand. 3: Examine why, in contrast to the monetarist/new classical model, the economy will not automatically return toRead More
1: Explain how changes in the size of the circular flow depend on the relative size of injections and leakages.
1: Explain tow factors that might give rise to economics of scale for a firm. 2: Explain why some firms might choose the foal of profit maximization while others might choose to adopt satisficing behaviour. 3: Explain why firms may not always pursue the goal of profit maximization. Chapter 7:Read More
1: To what extent is advertising the most effective way of increasing the consumption of merit goods? 2: Explain how the overuse of common access resources can lead to negative externalities. 3: Discuss the view that the best way to reduce the threat to sustainability, arising from the burning ofRead More
