Economics

Course summary

Year 12 • Operation of markets and market failure. This area of study covers topics like the economic problem and economic methodology; price determination in a competitive market; production, costs, and revenue; competitive and concentrated markets; and the market mechanism, market failure, and government intervention in markets. • The national economy in a global context. This area of study covers topics like measurement of macroeconomic performance; how the macroeconomy works: the circular flow of income, aggregate demand/aggregate supply analysis and related concepts; and economic performance and macroeconomic policy. Year 13 • Individuals, firms, markets, and market failure. This area of study covers topics like individual economic decision-making; production, costs, and revenue; perfect competition, imperfectly competitive markets, and monopoly; the labor market; the distribution of income and wealth: poverty and inequality; and the market mechanism, market failure, and government intervention in markets. • The national and international economy. This area of study covers topics like the measurement of macroeconomic performance; how the macroeconomy works: the circular flow of income, AD/AS analysis, and related concepts; economic performance; financial markets and monetary policy; fiscal policy and supply-side policies; and the international economy.