157 Micro Economics Book 1 AS Level Notes

Description

The idea of writing notes for Cambridge A-level Micro Economics Book came to me in 2003, when, having already taught for a year, I realized that no single economics book available in the local and international markets covered all the topics with the depth and perspective required by the CAIE syllabus.

Both students and teachers had to consult 3 to 4 different books to find all the material that they needed—private candidates and new teachers had it even worse. Furthermore, it was really difficult for students to keep having to refer through different books when the exams were close and they were starved for time.

I took on the challenge and decided to write a comprehensive text that explicitly followed the syllabus and exam pattern of the CAIE. A year and a half later, in the middle of 2004, I had finally written and published four entire volumes of A-level economics notes. Part of them had been hand-written, and part of them had been typed. Soon, word of their usefulness spread, and they were bought all over Pakistan.

The notes had served their purpose well till the end of 2014.

Till that point, there had only been minor changes in the syllabus. But now, there was a dire need to update them, for the new syllabus introduced some significant changes in course content. In this new and improved edition, old topics have been revised and new topics have been added. At the end of each topic, a relevant list of essay questions has been added as well, and these contain questions spanning from 1990 to 2019.

These questions provide a clear guideline regarding how the examiners assess students’ knowledge on the topics for Paper 2 and Paper 4, allowing the student to practice effectively. While writing these notes I kept in mind the way in which the examiner tests MCQs as well.

Micro Economics Book

The notes have been divided into four volumes to make it easier for those who are following the AS and A2 track separately and for those who are taking the composite exam; the syllabus division in the following pages has been provided for this express purpose.

I hope my efforts will help to contribute both to the learning of the student, as well as to the inquisitiveness of any teachers of A-level economics, effectively. Your suggestions will help me improve the quality of the content for later editions and will be highly appreciated.

Imran Latif

157 Micro Economics Book 1 AS Level Notes

TABLE OF CONTENTS
UNIT 1 BASIC ECONOMIC IDEAS AND RESOURCE ALLOCATION
BASIC ECONOMIC PROBLEM
PRODUCTION POSSIBILITY CURVE
ECONOMIC STRUCTURE
POSITIVE AND NORMATIVE STATEMENTS
CLASSIFICATION OF GOODS AND SERVICES:
BASIC ECONOMIC QUESTIONS
MEANING OF THE TERM ‘CETERIS PARIBUS’
DECISIONS AT THE MARGIN
SHORT RUN, LONG RUN AND VERY LONG RUN
ECONOMIC SYSTEMS
DIFFICULTIES FACED BY TRANSITION ECONOMIES:
TOPICAL PAST PAPER ESSAY QUESTIONS
UNIT 2 DEMAND, SUPPLY & EQUILIBRIUM
DEMAND
SUPPLY
EQUILIBRIUM
INTERDEPENDENT MARKETS & PRICES
ECONOMIC AGENTS IN A MARKET ECONOMY
THE FUNCTION OF PRICES IN THE MARKET
TOPICAL PAST PAPER ESSAY QUESTIONS
UNIT 3 ELASTICITY
INTERPRETING THE ELASTICITY FIGURES:
ELASTICITY OF DEMAND
PRICE ELASTICITY OF SUPPLY (PES)
DETERMINANTS OF PES
INCOME ELASTICITY OF DEMAND
CROSS ELASTICITY OF DEMAND (XED)
PRACTICAL APPLICATIONS OF ELASTICITY
LIMITATIONS OF THE CONCEPT OF ELASTICITY
PAST PAPERS QUESTIONS
UNIT 4 GOVERNMENT MICROECONOMIC INTERVENTION
CONSUMER SURPLUS
PRODUCER SURPLUS:
TOTAL SURPLUS:
EFFICIENCY AND MARKET EQUILIBRIUM
FINANCIAL INTERVENTION:
PRICE CONTROLS:
PRIVATIZATION
NATIONALIZATION AND DIRECT PROVISION OF GOODS AND SERVICES
PAST PAPERS QUESTIONS