nyjc h2 economics tutorial questions and answers topical (all topics)

JC1 and JC2 H2 Economics 2013 NYJC Economics Tutorial TOPICS PAGE Introduction to Economics Data Response Skills 1 Introduction to Economics Essay and Case Study Skills 9 Scarcity, Choice & Opportunity Cost Nature & Scope 28 Resource Allocation in Competitive Markets Demand & Supply (In Product Market) 34 Resource Allocation in Competitive Markets Elasticity of Demand & Supply 67 Key Economics Indicators National Income Accounting 122 Key Economics Indicators An Introduction to Macroeconomics 139 How The Macroeconomy Works Keynesian Theory 143 How The Macroeconomy Works Government Policy Tools 163 How The Macroeconomy Works Economic Problems - Inflation 179 How The Macroeconomy Works Economic Problems – Unemployment 221 How The Macroeconomy Works Economic Problems – Economic Growth 253 International Economics International Trade, Finance & Globalization 289 Firms & How They Operate Theory of Production and Costs; The Perfectly Competitive Market; The Monopolist 377 Firm’s & How They Operate Monopolistic Competition; Oligopoly 407 Market Failure & Government Intervention 450 www.KiasuExamPaper.com 1 The Monopolist & HHHowwwww TTTTTTTThehheeheyyy y Oppppppppereeerererere aaataaaaaa e Mooonooooooopoppopopopopppolisttticcccc CCCCCCComomomomomomomommpepepepepepepeepep titititititiionnononnonononnn; ;; ;; ;; OOOlOOOO igggopoloolly 4044 777 et FFFaaailurerererererereree &&&& GGGovovovovovovovovvo ernmnmnmmnmnmnmmenenenenneneenentttttttt InInInnInInnnI tetetetetetetet rvrvrvrvrvrvrvrvenenenenenenenenene tititititittitit ooonooo 454545000

Nanyang Junior College 2012 - 2013 H1 & H2 Economics © 1 1.1 Numbers (a) Absolute and Relative Absolute – r e f e r s t o t h e a c t u a l s i z e / v a l u e o f a c e r t a i n v a r i a b l e a n d w h a t happens to the actual size/value over a period of time. Example: Pei Ling’s Mathematics marks rose by 5 from 25, while Wei Xiong’s marks rose by 8 from 80. Relative – refers to the size / value of one variable with regard to some aggregate or other variable and how this position changes over a period of time. Example: Pei Ling’s marks rose by 20%, while Wei Xiong’s rose by 10%. NOTE: Data can show a larger absolute change but a smaller rela tive change. In “absolute” terms Wei Xiong showed a larger improvement, but in “relative” terms Pei Ling’s improvement was more significant. (b) Index Numbers Index Numbers (or indices) are a common tool that economists us e to measure the relative changes of variables over time. It is espe cially useful when the absolute or ‘raw’ data becomes very unwieldy or when absolute comparisons are not necessary. Example: We can ‘index’ the changes of the waist size of a few individuals over time, so that more valid or ‘fair’ comparisons can be made. Waist (cm) January March June Person A 40 44 48 Person B 60 63 69 Person C 80 86 94 Waist (Jan =100) January March June Person A 100 110 120 Per