By Colin Bamford, Susan Grant
A brand new variation that fits the content material of the 2011 Cambridge syllabus. This new version, to be had in either print and booklet codecs, deals accomplished syllabus assurance and a transparent department of content material into AS and a degree fabric. absolutely counseled by means of CIE and provided in complete color, it bargains a really overseas viewpoint at the learn of economics. Written in a transparent and available type by way of skilled senior examiners, this direction makes use of updated examples and information from a wide-range of economies. The print booklet features a CD-ROM supplying solutions to the questions within the coursebook in addition to additional examination perform questions. those extra fabrics also are integrated within the publication model.
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Additional resources for Cambridge International AS Level and A Level Economics Coursebook
It does so wlthin the conteXt of a【 】 nark哎 In terms ofthe aboVe head⒒ nes`the markets inVolVed are: offlces and you W111see eVidence ofthis markt They East Asla in lvIalaysla ・ a speciaⅡ st tea maIketin a region o￡ China also refer to the labour markt,l,・ here indlvidualζ labour po、 ver is‘ bought and sold’ -if any of you have 41 par仁 ume orfu11~time jobs`you have participated in inal consumer Vfe could look at an indl△ the labour rnarlxet as a se11er oflabour purchaser′ s demand for a Product or,more The teleVision newsreaders often refer to the stock market`where shares are bought and sold`and the idual usefu11y,we can aggregate this to look at the demand ofan oVera11rnarket b△ y clearˇ purcha陡 rs must wam foreign eXchange market`l,・ llere currencies are △刂ⅡⅡngto bought and sold These eXamples indicate that to an economist a productifthey are going to enterinto the malket to buy△ a market does not have to haVe a cleady defined physical presence as the typicaI tols/n or street rnarket AbIe to bⅡy To an econon1ist`the notional demand for a produc△ 、 、 hich emerges from mlght h钔 狩 It ls slmpˇ a怡 rm used to descr山 e the ˇ Pr0cess through whlch products that ale sImilar are ifthe demand is to beCome effectm、 demand Companies are onˇ willing to sdl a product if bought and sold `anting it`must be backed by purchaslng pcllAler the purchaser has monetary abⅡ 止y to pay lorthe product~the wo⒒ d Ⅵ is fu11ofˇ vishful thinkers `ho wcluld love to own something they just Hclw do you participate in the fo"owing markets?
EffectN龟 demand that is of real importance for economists cannot afford It is,howeve△ 1 The fast food iη arket Various prices Pェ ices are crucial to the functioning of a ma厂 ke攵 Although lnany things 2 The teleCommunications market in且 uence B The transport market moment of purchase`ls,hen we haVe to hand demand for a product`it is at the clver our rnoney and pay the price丿 Demamd iudge whethel the produc"s vahe for money -in othel Words`whdher we realˇ are willing To an economist demaud re± ers that we rea11y and able to buy it As the price goes uP`and to the g〃 曰″rIFl邰 @f夕 rcPj日 sers曰 惚 w`:Ij,lK曰 /l'曰 perperio'of″ r996口 〃oFJl召 r `〃 D佗 r,r。 JIJc‘ 仂 日F Fo切 /夕 rv日 rfo〃 s`'ices FJ,i驾s Dei,9g eg叨 provided no other changes haVe occurred`rnore and【 nore people wi11judge the product t° be less w【 ,rth、 刃 ^`hⅡ e Per period of time Demand rnust betirne Denniti° ns are of criticalirnportance in Economics` so let us break this definition dol/o,n to understand in some depth whatit means the sales occurred If that1・ vas per ninute then demand is probably quite high`butifthat was numerica1values and very often try to represent per week then clearIy there is information in a quant△ ative way This pointis reinforced by using the term′ PriCes′ Big Macs in this particular rnarket ● Product Thls o a generalterm that血 mpˇ other things be且 sh° ruy ng equaI Ⅱttle demand for ˇVe v￠ i1l see that there are numerous potential refers to the△ em thatis being traded It can be innuences。 n the demand f° r a product used±or goods ol services We Could also stretch Anaˇ sing this to inchde tradable items like money° elements is very difncuk if many° f these r other nnancial assets such as shares Purchasers These are the buyers ofthe pr° duct 42 McDonalds sold2o Big lvIacs to consumers unless you specify the time period° Ver、 vhich ・ QⅡ antⅡ ies Economlsts often deal With ・ related Itis of no use to say that the loca1 and are often referred to as℃ onsumers讠 the c° nnections between the Various elements are changing sirnultaneously so`f° r silnpIcity,We start With the assumpti° n that a11the° ther factors in丑 uencing demand are although they may“ mpˇ be imermedlaries in the production-consumPtion chain`eg Nesu道 constant and anaˇ se the response° f purchasers on the basls that price alone chan。Ces This purchasing large amounts of cocoa to be used is sometimes referred to as the∞ 绍ro p历 in the production of chocolate for sale to the assumption IJs 'j汐 The Jema"dc"rˇ e Let us now take the de3nition of demand and represent it diagrammaticaⅡ y to construct a demand curve V氵 e、 vⅡ l make uP an example based on the overal1market demand for computers (PCsl t° ⅡltIstrate the polnt Let us assume th扯 We can identify a typical PC`ie one With a set of standard specifications Let us also assume that ˇ `e have col1ected statistical data about people′ s preferences and that the quantity of PCs that people are w⒒ hng and able to buy at various prices Per period of tirne`other things being equal`can be represented by the data in Table21 Thisis known as a demand sched“ 1e We can now plotthe market PCs ho泖 o co冖 s0惚 nF m¤ /ker demo冖 d demand schedule on a graph to see how the qtlanuty demanded of PCs relates to Variationsin price This demand curve therefore represents the aggregation 、 Vhatthe ofrnany individual demand curves Figure21shows the market demand curve for the data in Table21 Price ofa Quantity demamded per week- ‘ standard’ PC【 s, Jemand curⅡ D。 demand curVein Figu1e21shows us; An inverse or negat1Ve qtlan⒒ tatiVe relationship betlveen price and quant△ y demanded TheIaw of demandis: ° XsIhen price goes up`there is a'ecre砑 s召 in 叼″勿彳rj″ 钅e抑 夕″ ° when pェ ice goes'e饣 down`there is an i″ c″ 夕se in 2000 1000 1800 2000 NOuce the language thatis being used hele- 1600 3000 1400 4000 changesin price cause a change in quantity demanded and Wei11ustrate this by movements up and down the demand curve 1200 5000 1000 6000 A causal relationship-changes in price cause 800 7000 changes in the quantity demanded A△ near relationship~this demand curve has TabIe21 M¤ lkef gv讶 彳 ‘ ″ de臼 口冖d schedJ佗 歹纟幽 曰刃饣e饣 been drawn`again for sirnpⅡ cit≯ as a straight hne However`it is perfecuy acceptable for price and quantity demanded to be related in a nonˉ linea1manner A continuous relationsh、 P-we could look atthe diagran1and nnd out at what price consumers 贫ˇ 】60o would be wi11ing and able to buy say12s9PCs g汪 A time-based relationship-the t1me period here is Weeky Other things being equal Figure21is a Very useful diagran△ D。 5000 5000 7000 °uanuty demanded F:g"oe2J The m¤ rker dem° nd c凵 For PCs since1t a11ows us to visua⒒ se a quite complex relationshipsirnple pictures are usua11y easier to unde1stand and remerrlber than a large nulllber of words It also a11ows us to estirnate how muCh consumers '唿 43 Horizontal shiR-consumers are noˇ V lvllⅡ ng and able to buy more Pcs at each and every price so`1o,hereas previously they had only been Using Figure21 and Table21`answer the fo"owing: 1 How many PCs per week are people wi|Ⅱ ng and able to buy if the price is$1100?
Briefly explain your onsˇ ven  ls marksl 34 Use the informa刂 on in the fo"ovA/ing table to con5truct a production possib"ity 4 a ^'J front er〈 PPF) Pine茁 pplos 200 350 425 500 锎蛔乃“ 0 △Iamgoes 丨 111:yorlfe Ⅱtq,v/sh。 p6oo578IO,taObaO,cOm 475 b c d 0 500 卜 口 口 l `arkvvhy thethis point(300`300)on your diagram state point does not represent an efficient use of resources l ∧ 、 /hat does the shape ofthe PPF you have dravvn say aboutthe opportunity costs of producing ome more unit of pineappIes or mangoes?
Cambridge International AS Level and A Level Economics Coursebook by Colin Bamford, Susan Grant