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Economics B (9EB0)

23個單元

Scarcity, choice and potential conflicts

The economic problem
Business objectives
Stakeholders (economic agents) and their objectives

Enterprise, business and the economy

Role of an entrepreneur in the economy
Entrepreneurial motives
Factors of production
Specialisation
The wider economic environment

Introducing the market

Demand
Supply
Price determination
Price mechanism
Understanding the consumer
The competition

The role of credit in the economy

Role of banks in the economy
Risk and liability
Types and sources of credit and the impact of credit within the economy

Market failure and government intervention

Market failure and externalities
Government intervention and failure

Revenue, costs, profits and cash

Revenue and costs
The relationship between revenue and costs
Profit and loss
Business survival and cash flow

Business growth and competitive advantage

Growth
Methods of growth
Research and development (R&D) and innovation
How the digital economy affects markets and firms
How small firms compete

Firms, consumers and elasticities of demand

Price elasticity of demand (PED)
Competing on price
Types of non-price competition
Income elasticity of demand (YED)

Productive efficiency

Productivity
Capacity utilisation
Efficiency and competitiveness using lean production
Impact on costs and sales revenue

Life in a global economy

Globalisation
Developed, emerging and developing economies
International trade
Exchange rates

The economic cycle

The economic cycle
Circular flow of income, expenditure and output
Inflation
Employment and unemployment

Introduction to macroeconomic policy

Possible macroeconomic objectives
Policy instruments
Potential policy conflicts and trade-offs

Globalisation

Growing economies
Trade and growth
Trading blocs
Trade policy and trade negotiations
Exchange rate changes

Economic factors in business expansion

Conditions that prompt trade
Assessing the potential of different economies

Impact of globalisation on global companies

Responding to global demand
Demand-side factors in global markets

Impact of globalisation on local and national economies

The impact of multinational corporations (MNCs)
Ethical issues
Controlling MNCs

Global labour markets

Employment patterns
Wage rates
Minimum wage legislation

Inequality and re-distribution

Poverty and inequality
Reducing poverty
The impact of inequality on economic agents
Re-distribution of income and wealth

Competition and market power

Spectrum of competition
Barriers to entry
Oligopoly
Business objectives and pricing decisions
Productive and allocative efficiency

Market power and market failure

Market failure
Business regulation
Arguments for and against regulation

Market failure across the economy

Market failure in society
Externalities
Policies to deal with market failure

Macroeconomic policies and impact on firms and individuals

The AD/AS model
Demand-side policies
Supply-side policies
The impact of macroeconomic policies

Risk and the financial sector

Risks and uncertainty
The role of the financial sector
The role of the central bank
The Global Financial Crisis

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