TERM 
1

4.1.1 Economic methodology and the economic problem

• Economic methodology
• The nature and purpose of economic activity
• Economic resources
• Scarcity, choice and the allocation of resources
• Production possibility diagrams

4.1.3 Price determination in a competitive market

• The determinants of the demand for goods and services
• Price, income and cross elasticities of demand
• The determinants of the supply of goods and services
• Price elasticity of supply
• The determination of equilibrium market prices
• The interrelationship between markets

4.2.1 The measurement of macroeconomic performance:

• The objectives of government economic policy
• Macroeconomic indicators
• Uses of national income data

4.2.2 How the macroeconomy works: the circular flow of income, aggregate demand & the related concepts:

• The circular flow of income
• Aggregate demand and aggregate supply analysis
• The determinants of aggregate demand
• Aggregate demand and the level of economic activity
• Determinants of short-run aggregate supply

Students will be assessed in class at several points throughout each term. Assessments could take the form of: MC questions, small and longer mark examination questions, diagram tests, essay questions and quick quizzes.

They will also have an end of half term or term test:

October half term test

December half term test

TERM
2

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

• How markets and prices allocate resources 
• The meaning of market failure 
• Public goods, private goods and quasi-public goods 
• Positive and negative externalities in consumption and production 
• Merit and demerit goods 
• Market imperfections 
• Competition policy 
• Public ownership, privatisation, regulation and deregulation of markets 
• Government intervention in markets 
• Government failure

4.2.3 Economic performance 

• Economic growth and the economic cycle  
• Economic growth and development 
• Employment and unemployment 
• Inflation and deflation 
• Uses of index numbers 

Students will be assessed in class at several points throughout each term. Assessments could take the form of: MC questions, small and longer mark examination questions, diagram tests, essay questions, and quick quizzes.  

They will also have an end of half term or term test:  

February half term test 

Easter half term test

TERM
3

4.1.2 Individual economic decision making 

• Consumer behaviour 
• Imperfect information 
• Aspects of behavioural economic theory  
• Behavioural economics and economic policy 

4.1.7 The distribution of income and wealth: poverty and inequality 

• The distribution of income and wealth 
• The problem of poverty 
• Government policies to alleviate poverty and to influence the distribution of income and wealth 

4.1.4 Production, costs and revenue 

• Production and productivity 
• Specialisation, division of labour and exchange 
• The law of diminishing returns and returns to scale 
• Costs of production 
• Economies and diseconomies of scale 

4.2.5 Fiscal policy and supply-side policies 

• Possible conflicts between macroeconomic policy objectives  
• Fiscal policy 
• Supply side policies 

Students will be assessed in class at several points throughout each term. Assessments could take the form of: MC questions, small and longer mark examination questions, diagram tests, essay questions and quick quizzes.  

They will also have an end of half term or term test:  

Internal mock exam