Economics
Subject Leader: Mr. G Gartside
Subject Leader Email Address: gareth.gartside@swale.at
The ideas of economists and political philosophers, both when they are right and when they are wrong, are more powerful than is commonly understood. Indeed, the world is ruled by little else.
JOHN MAYNARD KEYNES
Subject Overview
A-Level Economics offers a fascinating journey into how individuals, firms, and governments make choices when face with scarcity, and the profound impact these decisions have on societies. Students will delve into both microeconomics, exploring market failures, consumer behaviour, and firm strategies, and macroeconomics, analysing national income, inflation, unemployment, and the role of fiscal and monetary policies in shaping global economies.
This dynamic subject cultivates essential skills in critical thinking, data analysis, problem-solving, and evaluating complex arguments, equipping students to understand and interpret current affairs. Whether aspiring to careers in finance, policy-making, research, or simply seeking a deeper understanding of the world's economic forces, Economics provides an unparalleled analytical framework for future success.
This dynamic subject cultivates essential skills in critical thinking, data analysis, problem-solving, and evaluating complex arguments, equipping students to understand and interpret current affairs. Whether aspiring to careers in finance, policy-making, research, or simply seeking a deeper understanding of the world's economic forces, Economics provides an unparalleled analytical framework for future success.
Sixth Form - Year 12
Term 1
Focus: Core Microeconomic Concepts & Market Fundamentals
This term begins by establishing the fundamental principles of economics, exploring concepts such as scarcity, choice, and the economic problem. Students will then dive into Theme 1, focusing on how markets work. This includes an in-depth study of demand and supply, understanding their interaction to determine market equilibrium, and an introduction to the concept of elasticity (price, income, cross-price, and supply) and its significance in business and policy.
Term 2
Focus: Market Failure & Government Intervention
Building on market fundamentals, this term extends Theme 1 to analyse market failure critically. Students will explore various causes, including externalities (both positive and negative in production and consumption), public goods, and information gaps, examining their consequences for efficiency and equity. A crucial focus will be on understanding the rationale and effectiveness of different forms of government intervention in markets, such as indirect taxes, subsidies, price controls, regulation, and direct provision.
Term 3
Focus: Introduction to Macroeconomic Performance & The UK Economy
This term transitions into Theme 2, focusing on the performance of the UK economy. Students will learn about the key measures of economic performance, including Gross Domestic Product (GDP) as an indicator of economic growth, various measures and causes of inflation, types and impacts of unemployment, and the components of the balance of payments. This also includes an initial introduction to the circular flow of income and the aggregate demand/aggregate supply model.
Term 4
Focus: Understanding Aggregate Demand and Aggregate Supply
Building on measures of performance, this term delves into the core components of the macroeconomic model. Students will rigorously explore the constituents of aggregate demand (consumption, investment, government spending, and net exports) and factors influencing its shifts. Concurrently, they will examine aggregate supply in both the short-run and long-run, understanding the determinants of its shifts and how the interaction of AD and AS determines macroeconomic equilibrium.
Term 5
Focus: Macroeconomic Policy & Objectives
This term focuses on the various tools governments and central banks use to influence the economy. Students will investigate the different macroeconomic policy objectives (e.g., economic growth, stable prices, full employment) and the potential conflicts and trade-offs between them. A detailed study of fiscal policy (government spending and taxation) and monetary policy (interest rates and quantitative easing) will be undertaken, analysing their mechanisms and impacts on the UK economy.
Term 6
Focus: Supply-Side Policies, Consolidation & Application
This final term consolidates understanding of Themes 1 and 2 by introducing supply-side policies, exploring how they aim to improve the productive potential of the economy. A significant emphasis will be placed on the integration and application of all microeconomic and macroeconomic concepts. Students will engage in extensive practice applying their knowledge to current economic issues, analysing data, and developing well-structured, evaluative arguments for exam-style questions, preparing them for their future assessments.
How is the course assessed?
Your combined performance across these papers determines your final grade: Paper 1 (30%), focusing on Theme 1 (Markets and Market Failure); Paper 2 (30%), covering Theme 2 (The UK Economy – Performance and Policies); and Paper 3 (40%), which is a synoptic paper assessing all four themes with a balance of microeconomic and macroeconomic content.
Sixth Form - Year 13
The focus is on Theme 3 and Theme 4.
Term 1
Focus: Business Objectives, Costs & Introduction to International Trade
This term initiates exploration of Theme 3 by examining diverse business objectives (profit maximisation, sales maximisation, satisficing) and delving into revenues, costs, and profits, including short-run cost curves and basic efficiency concepts. Concurrently, Theme 4 introduces international trade, exploring global trade patterns, the theories of absolute and comparative advantage, and the rationale behind and effects of protectionism.
Term 2
Focus: Market Structures & Global Financial Flows
Building on cost analysis, this term deeply explores Theme 3's market structures, detailing characteristics, behaviour, and efficiency in perfect competition, monopolistic competition, and oligopoly. In parallel, Theme 4 focuses on global finance, analysing the components of the balance of payments (current, capital, financial accounts) and the determination of exchange rates (fixed vs. floating) and their initial impacts on the economy.
Term 3
Focus: Monopoly, Labour Markets & Global Economic Challenges
This term in Theme 3 completes the study of market structures with an in-depth look at monopoly, including its efficiency and regulation. It then transitions into the labour market, examining demand and supply for labour and wage determination. Simultaneously, Theme 4 advances understanding of exchange rates, their broader impacts, and critically analyses global issues of poverty and inequality, including their causes, measurement (using the Lorenz curve and Gini coefficient), and policy responses.
Term 4
Focus: Labour Market Intervention, Development & Financial Markets
Building on labour market foundations, this term in Theme 3 investigates various government interventions, including trade unions and the National Minimum Wage. Concurrently, Theme 4 delves into development economics, exploring factors affecting economic growth and development, and various strategies for achieving it. Students will also be introduced to the crucial role and functions of financial markets within the global economy.
Term 5
Focus: Strategic Business Behaviour, Global Risk & Synoptic Application
This term emphasises advanced analysis and integration across both themes. Students will explore Theme 3's strategic decision-making by firms in various market contexts and evaluate advanced forms of government intervention. For Theme 4, the focus intensifies on managing global financial risks, understanding the complexities of financial market regulation, and synthesising ethical considerations in international business. This term is crucial for making explicit links across all four A-Level themes for synoptic preparation.
Term 6
Focus: Comprehensive A-Level Exam Mastery (Papers 1, 2, & 3)
This pivotal final term is dedicated to intensive revision and exam preparation for all A-Level Economics papers. The focus will be on consolidating Themes 1, 2, 3, and 4, practising extensive data analysis, constructing sophisticated economic arguments, and mastering evaluative techniques under timed conditions. Students will engage with past papers and pre-release material for Paper 3, refining their ability to integrate microeconomic and macroeconomic concepts to excel in all three external assessments.