A Level Economics Transition Booklet

Welcome to A Level EconomicsCongratulations and well done for completing your GCSEs and transitioning onto the A Level Economics course at Fulford. As you are no doubt aware, the world is a pretty turbulent place right now, so there has not really been a more important or pertinent time to be studying Economics! The economic impact of events such as BREXIT, The Coronavirus and “reverse globalisation” via Donald Trump’s Make America Great Again mantra makes this a very interesting time to be studying the subject. Hopefully you have chosen Economics because you have a view on the way economies should operate and you have an interest in the way the wider world and economies should solve problems. For example, the government has recently funded “furloughed” staff in the UK at immense economic cost. On balance, what will be the economic impact of this in the UK for years to come? Should it be continued until a cure for The Coronavirus is found? Is this sustainable and what would be the alternative anyway? These are the types of problems economists are posed and tasked with finding the solutions for!The basics

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Economics boils down to 1 basic problem: Limited resources versus unlimited needs. In other words, the concept of scarcity and how “economic agents” have to make difficult choices - individuals, households, local and national governments are all affected by economics and have to make difficult decisions that can affect us all. For example, the UK government like many others around the world, is borrowing money to see the economy through the worst ravages of the current economic downturn. How should the government ultimately pay for this? Increased taxation? If so, which taxes should be raised? Income tax? VAT? Alternatively, they could go on another “austerity drive” reducing spending on items they see as less important. If you were The Chancellor, what budgets would you cut? Education, defence, The NHS or something else? This crystallises the difficult choices all of us have to make and is at the centre of the Economics course.

The expectationsEconomics is a subject that continues to change, it is a forward looking subject. It is a subject that requires writing in context. You cannot rely only on a textbook alone. To be successful you will need to show:

1. Awareness of economic issues in the real world via media news sources2. An ability to conduct independent research3. Show logical chains of argument and be able to weigh up evidence and make justified

conclusions

Recommended reading and sources of information

A. Websites - great for A Level Economics theory: Tutor2u - http://www.tutor2u.net/economics Economics Help – http://www.economicshelp.org EconplusDal – http://www.econplusdal.com Economics Online - http://www.economicsonline.co.uk/

B. Great for economics in the news: BBC News (economy section) - http://www.bbc.co.uk/news/business/economy The Guardian (economics section) https://www.theguardian.com/business/economics The Telegraph (economy section) http://www.telegraph.co.uk/business/economy/ The Financial Times https://www.ft.com/ Highly recommended – David Smith, Sunday Times Business Section – each Sunday a great

Economics based article is provided

C. Recommended YouTube channels Tutor2u Economics

https://www.youtube.com/channel/UCe83jLdZ3PuqVwAHe6B3U2A/playlists?view=50&sort=dd&shelf_id=13

G Conomics https://www.youtube.com/channel/UCzTsouXeGOAwePw-KAalRhA EconomicsplusDal https://www.youtube.com/user/EconplusDal Khan Academy https://www.youtube.com/watch?v=8JYP_wU1JTU

D. Twitter Feeds

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https://twitter.com/G_Conomics https://twitter.com/econplusdal https://twitter.com/EconomicsinTen https://twitter.com/TheEconomist https://twitter.com/economicshelp https://twitter.com/MyStephanomics https://twitter.com/dsmitheconomics https://twitter.com/FT

E. Great for economics data: Office for National Statistics - https://www.ons.gov.uk/ Trading Economics – http://www.tradingeconomics.com

F. Books: The Economics Book by Niall Kishtainy Economics: The User's Guide: A Pelican Introduction by Ha-Joon Chang Cracking Economics by Tejvan Pettinger Freakonomics: A Rogue Economist Explores the Hidden Side of Everything by Levitt, Steven

D., Dubner The Undercover Economist by Tim Harford The Euro by Joseph Stiglitz Capital in the Twenty First Century by Thomas Piketty Doughnut Economics by Kate Raworth GDP: A Brief but Affectionate History by Professor Diane Coyle

G. Magazines: Economic Review The Economist

H. Films: The Big Short (2015) – biographical drama-comedy film Margin Call (2011) – drama film Rogue Trader (1999) – biographical drama film Boiler Room (2000) – crime, drama film Wall Street (1987) – drama film Enron: The Smartest Guys in the Room (2005) - documentary Inside Job (2010) – documentary

Task 1:Your first task is to organise your online content so that you have resources at hand for your A- Level Economics course. Follow the Twitter feeds above and also add the websites to your favourites list. Also the add Economics in the News & YouTube channels links too. You will now be in a great position to keep up to date with contemporary Economics articles as well as have resources close at hand when you need them.

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Task 2: Recommended course textbook – we strongly advise you buy the recommended Economics textbook endorsed by OCR - the exam board we follow. Although it is quite expensive, it will be absolutely invaluable for the course and is an excellent sources of information that matches the specification very closely.Book title: OCR A Level Economics (4th edition) Paperback – 30 Aug 2019https://www.amazon.co.uk/OCR-Level-Economics-Peter-Smith/dp/1510458409 £39.99

You may be able to get it cheaper elsewhere (remember prices are influenced by buyer behaviour, supply and demand!) so shop around.

Task 3: Download and print off the course specification – the pages you need are pages 8-28. Set up an Economics folder and put the print out at the front of your folder for future referencehttps://www.ocr.org.uk/Images/536455-specification-accredited-a-level-gce-economics-h460.pdf

The Coronavirus and the impact on the UK EconomyOne of the themes of A Level Economics is the impact that the wider world can have on society and economies in particular. 6 months ago, the UK economy was performing quite well and we had record levels of employment and a generally prosperous country with low levels of inflation. However, “headwinds” in the form of BREXIT and The Coronavirus in particular, have considerably altered the economic landscape in the UK over recent months. Obviously The Coronavirus is first and foremost a human tragedy but we also need to examine how this massive external shock is affecting the UK economy.

Task 4: Watch the 15-minute video below on the impact The Coronavirus has had on the UK and its businesses. Summarise the main impacts of the virus on UK businesses and the sectors that have prospered and suffered?https://www.tutor2u.net/business/reference/business-impact-and-response-to-the-coronavirus-crisis

Task 5: The UK government economic response to COVID-19 is being co-ordinated by The Chancellor of the Exchequer. What is the name of the current Chancellor and what are the main roles of the job? (you will need to do some independent research here)

Task 6: Using the information and links overleaf, answer the following questions:i) What is the Furlough Scheme and why has it been introduced? ii) Outline any other methods of support that have been made available by the

government to support the UK economy and businesses and employees in particulariii) The UK is almost certainly heading for a recession. What do you understand by this

term?iv) COVID 19 is having a devastating impact on the UK economy. Outline the main effects

on the economy – particularly the GDP and unemployment. Use data and charts from the links below to support your answer.https://www.bbc.co.uk/news/uk-scotland-52637400?intlink_from_url=https://www.bbc.co.uk/news/business/economy&link_location=live-reporting-story

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https://www.bbc.co.uk/news/business-52566030?intlink_from_url=https://www.bbc.co.uk/news/business/economy&link_location=live-reporting-storyhttps://www.bbc.co.uk/news/av/uk-politics-52635569/coronavirus-sunak-extends-furlough-scheme-for-workers?intlink_from_url=https%3A%2F%2Fwww.bbc.co.uk%2Fnews%2Fbusiness%2Feconomy&link_location=live-reporting-maphttps://www.bbc.co.uk/news/business-52634759?intlink_from_url=https://www.bbc.co.uk/news/business/economy&link_location=live-reporting-story

Task 7: Using the links below, answer the following questions (watch the 2 videos first and then answer the questions)

i) Explain the difference between micro and macroeconomics and micro and macroeconomic government policies. Use examples to illustrate your points

ii) COVID-19 is said to be a demand side and supply shock side on the economy. Explain what is meant by demand and supply side shocks and give examples to illustrate your notes.

iii) The UK government can use fiscal and monetary policies to help the economy through the current crisis. Explain what is meant by fiscal and monetary policies (you may need to do a little bit of extra research here too).

iv) Give examples of fiscal and monetary policies that have been used by the UK government to try and alleviate the economic impacts of COVID- https://www.tutor2u.net/economics/reference/economics-of-the-crisis-micro-and-macro-aspects-head-start-in-a-level-economicshttps://www.tutor2u.net/economics/reference/macro-policies-to-prevent-an-economic-depression

Task 8: In order to fund the support of the UK economy, The Bank of England is helping the government. Using the links below and your own research, answer the following questions

i) What is The Bank of England and what are its main roles/functions?ii) Explain what is meant by the “ways and means” overdraft that the government is

using. Outline how The Bank of England is supporting the government and UK economy using this facilityhttps://www.youtube.com/playlist?list=PLslyOrpjJ0z2Q_G5-2OtMfYcoAjzLRxfhhttps://www.bbc.co.uk/news/business-52226482

Task 9: Just watch the videos below on how The Bank of England stores the nation’s gold! Maybe you will be able to afford some after you have studied Economics – see overleaf!

https://www.youtube.com/watch?v=1mKewn85sY4&list=PLslyOrpjJ0z2Q_G5-2OtMfYcoAjzLRxfh&index=15&t=0s https://www.youtube.com/watch?v=yLLcGmvW8WA

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Finally…..Enjoy the summer and your elongated break but don’t forget to keep yourself bang up to date with the world of Economics using all the information sources provided so you come back ready to go. Looking forward to seeing you on your return. Good luck and keep safe.

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