Join TSR now and get all your revision questions answeredSign up now

**********OFFICIAL OCR ECONOMICS F581 13th MAY 2014 THREAD************ Watch

    • Thread Starter
    Offline

    3
    ReputationRep:
    (Original post by EdwardsEconomics)
    A couple of *facepalm* errors are as follows:

    1. Not labeling the D or S curve on consumer/producer surplus diagrams. This renders all the marks (normally 4) void, even if everything else makes sense.

    2. Using AD/AS anywhere in the paper.

    3. In PED/XED/YED/PES definitions pupils write "the responsiveness of a change in demand/supply to a change in *price/income/price of good A*.

    The highlighted red word should not be included, some pupils continue to put "change" in twice.

    4. Not putting comments (for examples see one of my earlier posts) in comment questions, just analysing. Discussion questions should be balanced in positives and negatives.

    5. When describing factors of production and giving examples pupils regularly get Land and Enterprise examples wrong. When giving an example of land it is the SITE of whatever is being discussed (or you can go for beaches/mountains/oil). Use the word site though, shortcut to success. Note: fuel is not land, it has been processed by man and is capital. For Enterprise/Entrepreneurship the example should be the risk taking of the managers. The managers themselves are not examples, they are labour.

    6. Shifting Demand for any reason if there is a tax.

    7. Not understanding what positive and negative values mean for XED/YED

    8. saying ceteris paribus does not hold for a comment question and failing to give an example of what else could affect the situation.

    9. If a question says "using the figures in part b" or something similar, you NEED to do just that. You can't just write the correct theory and expect to get full marks, application is needed when instructed to do so.

    10. Positive and negative externalities are not the same as external costs and benefits. There is no market failure (negative externality) if there is an external cost to a third party which is fully paid for by the 'polluter'. I.e. Supposing I charge the perfect tax on carbon pollution so that it covers the full external cost, it does not eliminate the fact that it does affect a third party, just now they are completely compensated.

    That's without even talking about the fun ways to get the 18 mark essay wrong. I'm sure there's more but I'm off for a cuppa for a few minutes.
    For the COMMENT questions where you have to draw a graph, analyse and comment, is it sufficient to simply state the comment marks.
    E.g would i gain the comment mark by simply saying:
    'The effect depends on the price elasticity of demand/supply' or 'The effect depends on the magnitude of the shift/change in demand/supply'

    OR
    would i have to go into detail as to WHY it depends on that. In the mark scheme it makes it seem like if i go into depth and discuss WHY it depends on a particular factor that i can get all of the comment marks with one comment point.

    Hope this makes sense!
    Offline

    0
    ReputationRep:
    (Original post by zondazema)
    A negative externality is when the marginal social cost is greater than the marginal private cost.
    You have stated that the marginal social benefit is lower than the marginal private benefit, i don't believe this statement exists for anything in this course.

    I think what you've tried to do is draw the opposite of a positive externality but it doesn't work like that
    See this is where I am quite correct, and you (and perhaps OCR) are quite wrong. We are talking about consumption, thus we ought to be looking at the benefits.
    "

    • Consumption externalities are generated and received in consumption - examples include pollution from driving cars and motorbikes and externalities created by smoking and alcohol abuse and also the noise pollution created by loud music being played in built-up areas.
    • Negative consumption externalities lead to a situation where the social benefit of consumption is less than the private benefit."


    The guy from tutor2u also confirmed to me over twitter that
    MPB > MSB is a correct way of showing a negative externality in consumption.
    Offline

    0
    ReputationRep:
    hey i was wondering if anyone could help me with understanding the essay question, i'm having difficultly understanding the difference between Level 2 and Level 3, I have read this entire forum and all the posts regarding it, and i'm still confused, like what do you need to talk about and where in your essay to get level 2 and what and where do you need to talk about for Level 3 and where in your essay?

    This is pretty much a last ditch attempt to understand it, I have difficultly with it for quite some time, so any help is much appreciated.
    Offline

    0
    ReputationRep:
    (Original post by clara16)
    How does the government providing public goods solve market failure?


    Posted from TSR Mobile
    Private firms will have little incentive to provide them (low revenue, lower profits). Therefore, the government provide them using tax revenues provided from firms and consumers, correcting the market failure (free rider problem)
    Offline

    3
    ReputationRep:
    (Original post by c0llings)
    Private firms will have little incentive to provide them (low revenue, lower profits). Therefore, the government provide them using tax revenues provided from firms and consumers, correcting the market failure (free rider problem)
    This is fab thanks. Is there any reasons why the government shouldnt provide public goods?


    Posted from TSR Mobile
    Offline

    2
    ReputationRep:
    (Original post by zondazema)
    A negative externality is when the marginal social cost is greater than the marginal private cost.
    You have stated that the marginal social benefit is lower than the marginal private benefit, i don't believe this statement exists for anything in this course.

    I think what you've tried to do is draw the opposite of a positive externality but it doesn't work like that
    The guy is right, the negative externalities arising from consumption are when the marginal social benefit are lesser than the marginal private benefit.
    Offline

    0
    ReputationRep:
    (Original post by A level sufferer)
    The guy is right, the negative externalities arising from consumption are when the marginal social benefit are lesser than the marginal private benefit.
    OCR is encouraging a system that is leading to the death of economics
    Offline

    0
    ReputationRep:
    Does anyone know the chances of a 18 mark question coming up that's NOT on externalities? I've heard rumours that there may be a question on business relevance of PED.
    Offline

    0
    ReputationRep:
    (Original post by octagonallawyer)
    See this is where I am quite correct, and you (and perhaps OCR) are quite wrong. We are talking about consumption, thus we ought to be looking at the benefits.
    "

    • Consumption externalities are generated and received in consumption - examples include pollution from driving cars and motorbikes and externalities created by smoking and alcohol abuse and also the noise pollution created by loud music being played in built-up areas.
    • Negative consumption externalities lead to a situation where the social benefit of consumption is less than the private benefit."


    The guy from tutor2u also confirmed to me over twitter that
    MPB > MSB is a correct way of showing a negative externality in consumption.
    In reality you may be right but clearly you won't get the marks for writing it in the essay. You are just going to have to write what they want to see for the time being unfortunately .
    Offline

    0
    ReputationRep:
    (Original post by Dose)
    hey i was wondering if anyone could help me with understanding the essay question, i'm having difficultly understanding the difference between Level 2 and Level 3, I have read this entire forum and all the posts regarding it, and i'm still confused, like what do you need to talk about and where in your essay to get level 2 and what and where do you need to talk about for Level 3 and where in your essay?

    This is pretty much a last ditch attempt to understand it, I have difficultly with it for quite some time, so any help is much appreciated.
    Basically for level 2 you have to apply L1 to the case study or give an example. Whereas for level 3 you have to analyse the question explaining why the given policy does what it does.
    Offline

    0
    ReputationRep:
    Any last ideas on what the 18 marker will be guys?
    Offline

    0
    ReputationRep:
    I'm retaking this exam from last year. Totally think the 18 marker will be on Tradable Permits....last years question was on regulations...and I talked a lot about Tradable Permits....but unknown to me...OCR count Tradable Permits as another method of correction market failure...and not a form of regulation (which it actually is)
    Offline

    3
    ReputationRep:
    have any of you guys with teachers that are chief examiners told you any clues as to what is going to come up?
    Offline

    0
    ReputationRep:
    (Original post by ks100)
    Basically for level 2 you have to apply L1 to the case study or give an example. Whereas for level 3 you have to analyse the question explaining why the given policy does what it does.
    So bare with me on this, a general essay will look something like this?

    Introduction

    - Level 1 knowledge e.g. definitions

    First paragraph

    - Level 2 application of knowledge from level one (use a diagram if you want, and if you do then explain the diagram directly underneath)

    Second Paragraph

    - Level 3, which is analysis of the question can either be positive or negative
    - Level 4 evaluate the analysis stated

    Third Paragraph

    - Level 3, which is analysis of the question can either be positive or negative or at this point an alternative
    - Level 4 evaluate the analysis stated

    Fourth Paragraph

    - Level 3, which is analysis of the question can either be positive or negative or at this point an alternative
    - Level 4 evaluate the analysis stated

    Conclusion

    - Level 4 here just reaching an over judgment from the the points you made in the previous paragraphs


    I know you cant have one plan for every essay, but i'm just asking if im along the right lines here of this being a very general approach to the 18 marker?
    Offline

    1
    ReputationRep:
    anyone got any advice on negative and positive externalities diagrams (S and D)? confused
    Offline

    1
    ReputationRep:
    What are the advantages and disadvantages of government provision of merit goods?
    And do we have to draw the diagram for underconsumption (MSB>MPB) for market failure?
    Offline

    3
    ReputationRep:
    (Original post by fredhovis)
    anyone got any advice on negative and positive externalities diagrams (S and D)? confused
    I draw mine as simple demand and supply diagrams.
    Positive) shift right of supply curve.
    Negative) shift left of supply curve.


    Posted from TSR Mobile
    Offline

    0
    ReputationRep:
    (Original post by Dose)
    So bare with me on this, a general essay will look something like this?

    Introduction

    - Level 1 knowledge e.g. definitions

    First paragraph

    - Level 2 application of knowledge from level one (use a diagram if you want, and if you do then explain the diagram directly underneath)

    Second Paragraph

    - Level 3, which is analysis of the question can either be positive or negative
    - Level 4 evaluate the analysis stated

    Third Paragraph

    - Level 3, which is analysis of the question can either be positive or negative or at this point an alternative
    - Level 4 evaluate the analysis stated

    Fourth Paragraph

    - Level 3, which is analysis of the question can either be positive or negative or at this point an alternative
    - Level 4 evaluate the analysis stated

    Conclusion

    - Level 4 here just reaching an over judgment from the the points you made in the previous paragraphs


    I know you cant have one plan for every essay, but i'm just asking if im along the right lines here of this being a very general approach to the 18 marker?
    kind of, I would do it more like this:

    Introduction

    - Level 1 knowledge e.g. definitions

    First paragraph

    - Level 2 application of knowledge from level one (use a diagram if you want, no need to explain or analyse your diagram gere)

    Second Paragraph

    - Level 3, Use diagram to show effect of the policy, ie: demand and supply graph showing subsidy will have S curve shifting to the right.
    Then state the change in quantity and price. Comment on whether the allocative efficiency, market failure has been solved. Whether negative externality has been removed or positive externality secured.

    Third Paragraph

    - Level 4 evaluate the analysis stated giving positive/negative

    Fourth Paragraph

    - Level 4 evaluate the analysis stated giving positive/negative ie: if positive in 3rd paragraph then give negatives here

    Conclusion

    - Level 4 here just reaching an over judgment from the the points you made in the previous paragraphs

    hope this helps
    Offline

    2
    ReputationRep:
    Is there a diagram for the effect that pollution permits would have on S and D?
    Offline

    0
    ReputationRep:
    (Original post by ks100)
    kind of, I would do it more like this:

    Introduction

    - Level 1 knowledge e.g. definitions

    First paragraph

    - Level 2 application of knowledge from level one (use a diagram if you want, no need to explain or analyse your diagram gere)

    Second Paragraph

    - Level 3, Use diagram to show effect of the policy, ie: demand and supply graph showing subsidy will have S curve shifting to the right.
    Then state the change in quantity and price. Comment on whether the allocative efficiency, market failure has been solved. Whether negative externality has been removed or positive externality secured.

    Third Paragraph

    - Level 4 evaluate the analysis stated giving positive/negative

    Fourth Paragraph

    - Level 4 evaluate the analysis stated giving positive/negative ie: if positive in 3rd paragraph then give negatives here

    Conclusion

    - Level 4 here just reaching an over judgment from the the points you made in the previous paragraphs

    hope this helps

    yeah its been helpful, cheers
 
 
 
Poll
Which web browser do you use?

The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

Quick reply
Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.