All societies face the economic problem; how to make the best use of limited, or scarce, resources. The economic problem exists because, although the needs and wants of people are endless, the resources available to satisfy needs and wants are limited.
How do consumers, firms and governments make decisions regarding resource allocation? How do we decide who gets what? As a society we all make these decisions daily and in turn are affected by the decisions of other people and institutions. Economics is the study of these decisions and actions and the A Level course is designed to encourage the consideration of the practical application of economic concepts and models.
To study this subject you should have an enquiring mind, for example are you interested in the short term and long term impact of Brexit, do you wonder whether the government should intervene to solve the housing shortage and is it really possible for the market to solve the environmental crisis?
The Course Structure
Edexcel Economics specification covers:
Theme 1 – Introduction to markets and market failure
In this theme students will consider how markets work, looking at how supply and demand interact to allocate resources in local, national and international markets. They will learn how to apply supply and demand analysis to real-world situations and be able to offer explanations of consumer behaviour.
Having investigated how markets work, students will look at the nature and causes of market failure before considering the strengths and weaknesses of possible government intervention to remedy market failures.
Theme 3: Business behaviour and the labour market
This theme examines how the number and size of market participants, and the level of contestability, affect the pricing and nature of competition among firms. Students will consider the size and growth of firms through exploring organic growth, mergers and takeovers. Students will look at the rational assumption that firms are profit maximisers and then challenge this by looking at alternative business objectives. Revenues, costs and profits are explored before linking these ideas to different market structures such as monopolies.
Theme 4: A global perspective
Students will be expected to understand the significance of globalisation, international trade, the balance of payments and exchange rates. They will examine public finance, macroeconomic policies and the role of the financial sector in a global context. Students will consider the factors influencing the growth and development of emerging and developing countries and develop an awareness of trends in the global economy over the last 25 years.
Method of Assessment: 3 x 2 hour exam.
Please note – if you are opting to study Economics and not opting to study Mathematics then we recommend taking Level 3 Core Maths as your 4th option (rather than EPQ or work experience).
- Chartered Accountant
- Economic consultant
- Financial Analyst
- Political Analyst
- Stock broker
|Subject||Qualification (Level 3)||Required GCSE Grades
(in addition to Sixth Form entry requirements)
|Economics*||A Level||6+ Mathematics and 6+ English Language|
* Taught as part of the Benton Park collaboration.