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    I have just started AS Level Economics! Our teacher has given us this short question to do, but I am not sure how to do it! I have attached an image of the question, so would anyone mind helping me to answer it? I would really appreciate it!Name:  20160911_104900.jpg
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    Probs UK????
    I’ve not taken economics but I’m guessing because lower unemployment so there must be more jobs, and it has less debt to its GDP.

    However, you could say France due to it’s higher GDP per capita and it’s trade surplus.
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    the UK performed better- although France has a higher GDP and a surplus on it's balance of trade, the UK's rate of inflation is closer to the target of 2.0%, and it had 4% lower unemployment, as well as a better debt to GDP ratio.
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    U.K as it has stable inflation, close to 2% target, low unemployment in comparison to France
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    this question is an opinionated question which means as long as you fully explain why it is then you'll get the marks

    this question is judging how important to you are the economic objectives. I say the uk has a better economy as the unemployment rate is a lot lower this shows that the economy is close to maximum efficiency . Also the inflation rate is near the 2% mark which shows that there is spending and there should be consumer + business confidence


    (Original post by dp00)
    I have just started AS Level Economics! Our teacher has given us this short question to do, but I am not sure how to do it! I have attached an image of the question, so would anyone mind helping me to answer it? I would really appreciate it!Name:  20160911_104900.jpg
Views: 76
Size:  506.6 KB
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    That is a terrible question. How many marks is it?

    I would say the UK because it has healthy inflation (closer to the 2% target) and lower unemployment which suggests growth. It is quite subjective really, I don't see the balance of trade as particularly important when it comes to economic performance and GDP per capita is relatively similar.
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    UK - although key indicators like GDP growth, Interest Rates etc are missing. You need to use the phrase "ceteris parabus" (other thing being equal) in your answer.

    Reasoning:-

    Optimal inflation is c2% (zero inflation is not good for a country).
    Optimal Unemployment (structural employment is c3-5%)
    Optimal Balance of Payment should be zero.
    GDP per capita the higher the better
    Debt to GDP the lower the better.
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    Optimal Balance of Payment should be zero. No its not.... the higher the better, the more money coming into the country the better


    (Original post by Blimey1000)
    UK - although key indicators like GDP growth, Interest Rates etc are missing. You need to use the phrase "ceteris parabus" (other thing being equal) in your answer.

    Reasoning:-

    Optimal inflation is c2% (zero inflation is not good for a country).
    Optimal Unemployment (structural employment is c3-5%)
    Optimal Balance of Payment should be zero.
    GDP per capita the higher the better
    Debt to GDP the lower the better.
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    (Original post by zainyyyyy)
    Optimal Balance of Payment should be zero. No its not.... the higher the better, the more money coming into the country the better
    True - However Balance of Payment is a zero sum game, there will be political repercussion.
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    how you mean
    (Original post by Blimey1000)
    True - However Balance of Payment is a zero sum game, there will be political repercussion.
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    (Original post by zainyyyyy)
    how you mean
    Assume there are only 2 countries in the world A and B and a constant money supply, if A is buying less and selling more to B (running a balance surplus against B), the majority of the money will go to A. As times goes by, B will become "poorer" in monetary term and they may protect themselves by imposing tariff.

    Case example .. China vs USA now, Japan vs USA in the 80's. Also look at Germany - they have a huge surplus now, if the surplus continues for a long time other govt will re-act.
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    every individual country wants a surplus, assuming we care about other countries we would do so many things differently such as regulations
    (Original post by Blimey1000)
    Assume there are only 2 countries in the world A and B and a constant money supply, if A is buying less and selling more to B (running a balance surplus against B), the majority of the money will go to A. As times goes by, B will become "poorer" in monetary term and they may protect themselves by imposing tariff.

    Case example .. China vs USA now, Japan vs USA in the 80's. Also look at Germany - they have a huge surplus now, if the surplus continues for a long time other govt will re-act.
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    started economics today I'm on the new spec for AS. I don't understand, we started with supply demand and there are so many graphs.. I want an A but i do not know if it will be possible can someone help?
 
 
 
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