File "unit-21-demand-theory.html"
Path: /ThinkIB/bm_econ/economics/page/32533/unit-21-demand-theoryhtml
File size: 160.13 KB
MIME-type: text/html
Charset: utf-8
<!DOCTYPE html>
<html lang="en">
<head>
<!-- Google Tag Manager -->
<script>(function(w,d,s,l,i){w[l]=w[l]||[];w[l].push({'gtm.start':
new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0],
j=d.createElement(s),dl=l!='dataLayer'?'&l='+l:'';j.async=true;j.src=
'https://www.googletagmanager.com/gtm.js?id='+i+dl;f.parentNode.insertBefore(j,f);
})(window,document,'script','dataLayer','GTM-K5VSFSN');
</script>
<!-- End Google Tag Manager -->
<meta http-equiv="x-ua-compatible" content="IE=Edge">
<title>DP Economics: Unit 2.1: Demand theory</title>
<meta charset="utf-8">
<meta name="viewport" content="width=device-width, initial-scale=1.0">
<meta name="robots" content="none"><meta name="robots" content="noindex, nofollow">
<!-- Removed by WebCopy --><!--<base href="https://www.student.thinkib.net">--><!-- Removed by WebCopy --><meta name="keywords" content="Economics, ThinkIB.net, InThinking, IB, IBDP, IBMYP"><meta name="description" content="Unit 2.1: Demand theory. ThinkIB.net Economics is an InThinking website.">
<link href="../../../css/bootstrap.min.css" rel="stylesheet" media="screen">
<link href="../../../css/font-awesome-4.7.0/css/font-awesome.min.css" rel="stylesheet">
<link href="../../../css/top-nav.min.css?v=202305221900" rel="stylesheet" media="screen">
<link href="../../../css/style.min.css?v=202308071530" rel="stylesheet" media="screen">
<link href="../../../css/style-ib.min.css?v=202305221900" rel="stylesheet" media="screen">
<link rel="stylesheet" type="text/css" href="../../../js/jq-fancybox/jquery.fancybox.min.css">
<link href="../../../js/jq-fancybox/jquery.fancybox.min.css" type="text/css" rel="stylesheet">
<link rel="stylesheet" href="../../../css/side-nav.min.css?v=202305221900"><link rel="stylesheet" href="../../../assets/css/ckeditor5-custom.css" type="text/css"><link rel="stylesheet" href="../../../css/std-access.min.css?v=202305221900"><link rel="stylesheet" href="../../../css/snippets.min.css?v=202305221900"><link rel="stylesheet" href="../../../css/article.min.css?v=2023061230"><script src="../../../js/localdates.min.js?v=202009290900"></script><script src="../../../js/ifvisible.min.js"></script><script>ifvisible.setIdleDuration(300);</script><script>var tibSitename = "economics";</script>
<script>
const SITE_TAG = "ib"
const SITE_WEB = "ThinkIB.net"
const SITE_DOMAIN = "www.thinkib.net"
const SITE_URI = "https://thinkib.net"
const SITE_CLIENT_CODE = "TIB000001"
let imageThinker = "https://assets.inthinking.net/thinkib/header-thinker-ib.svg";
let imageStudent = "https://assets.inthinking.net/thinkib/header-student-thinkib.svg";
</script>
<script>var userHash = "1164ffdb5b0fa1709243f22ebefcb0a3", userTicket = "fd6a5e8a06cfccf2";</script><script src="../../../js/user/local-stats.min.js?v=202102101800"></script><link rel="apple-touch-icon-precomposed" sizes="57x57" href="../../../thinkib/favicon/student-thinkib/apple-touch-icon-57x57.png"><link rel="apple-touch-icon-precomposed" sizes="114x114" href="../../../thinkib/favicon/student-thinkib/apple-touch-icon-114x114.png"><link rel="apple-touch-icon-precomposed" sizes="72x72" href="../../../thinkib/favicon/student-thinkib/apple-touch-icon-72x72.png"><link rel="apple-touch-icon-precomposed" sizes="144x144" href="../../../thinkib/favicon/student-thinkib/apple-touch-icon-144x144.png"><link rel="apple-touch-icon-precomposed" sizes="60x60" href="../../../thinkib/favicon/student-thinkib/apple-touch-icon-60x60.png"><link rel="apple-touch-icon-precomposed" sizes="120x120" href="../../../thinkib/favicon/student-thinkib/apple-touch-icon-120x120.png"><link rel="apple-touch-icon-precomposed" sizes="76x76" href="../../../thinkib/favicon/student-thinkib/apple-touch-icon-76x76.png"><link rel="apple-touch-icon-precomposed" sizes="152x152" href="../../../thinkib/favicon/student-thinkib/apple-touch-icon-152x152.png"><link rel="icon" type="image/png" href="../../../thinkib/favicon/student-thinkib/favicon-196x196.png" sizes="196x196"><link rel="icon" type="image/png" href="../../../thinkib/favicon/student-thinkib/favicon-96x96.png" sizes="96x96"><link rel="icon" type="image/png" href="../../../thinkib/favicon/student-thinkib/favicon-32x32.png" sizes="32x32"><link rel="icon" type="image/png" href="../../../thinkib/favicon/student-thinkib/favicon-16x16.png" sizes="16x16"><link rel="icon" type="image/png" href="../../../thinkib/favicon/student-thinkib/favicon-128.png" sizes="128x128"><meta name="application-name" content=" "><meta name="msapplication-TileColor" content="#FFFFFF"><meta name="msapplication-TileImage" content="https://assets.inthinking.net/thinkib/favicon/student-thinkib/mstile-144x144.png"><meta name="msapplication-square70x70logo" content="https://assets.inthinking.net/thinkib/favicon/student-thinkib/mstile-70x70.png"><meta name="msapplication-square150x150logo" content="https://assets.inthinking.net/thinkib/favicon/student-thinkib/mstile-150x150.png"><meta name="msapplication-wide310x150logo" content="https://assets.inthinking.net/thinkib/favicon/student-thinkib/mstile-310x150.png"><meta name="msapplication-square310x310logo" content="https://assets.inthinking.net/thinkib/favicon/student-thinkib/mstile-310x310.png">
</head>
<body onunload="" class="student-access">
<!-- Google Tag Manager (noscript) -->
<noscript><iframe src="https://www.googletagmanager.com/ns.html?id=GTM-K5VSFSN" height="0" width="0" style="display:none;visibility:hidden"></iframe></noscript>
<!-- End Google Tag Manager (noscript) -->
<div id="header">
<div class="wmap">
<div class="layout-wrapper">
<div class="container-fluid">
<div class="pull-right visible-phone">
<a href="https://www.inthinking.net">
<img src="../../../thinkib/header-logo.svg" style="height: 45px; width: auto">
</a>
</div>
<div class="visible-phone" style="clear:both;"></div>
<div class="pull-left">
<h1><a href="../../../economics-1.html?lg=50735"><span style="font-size: .8em;">IBDP Economics - Student pages</span></a></h1>
<p class="slogan hidden-phone"><span class="slogan"><em>InThinking</em> Subject Sites for teachers & their classes</span></p>
<p class="hidden-phone"><em>Group: <br>Teacher: </em></p>
</div>
<div class="pull-right text-right">
<a class="hidden-phone" href="https://www.inthinking.net">
<img src="../../../thinkib/header-logo.svg" style="height: 70px; width: auto">
</a>
<div class="search"><a href="#" class="toggle-menu-search" data-toggle="dropdown" title="Search"><i class="fa fa-2x fa-search"></i></a></div>
</div>
</div>
</div>
</div>
</div>
<div id="topmenu">
<div class="layout-wrapper">
<div>
<nav class="top-nav"><ul class="level-0"><li><a href="../../../economics-1.html?lg=50735"><i class="fa fa-home"></i> Home</a></li><li><a href="../20131/start-here.html">Start here</a></li><li><a href="../27378/the-ib-core.html">The IB core</a></li><li class="selected"><a href="../32112/textbook.html">Textbook</a></li><li><a href="../20132/units-1-2-microeconomics.html">Units 1-2: Microeconomics</a></li><li><a href="../21842/unit-3-macroeconomics-.html">Unit 3: Macroeconomics </a></li><li><a href="../21844/unit-4-global-economy.html">Unit 4: Global economy</a></li><li><a href="../21380/assessment.html">Assessment</a></li><li><a href="../4332/exam-style-questions.html">Exam style questions</a></li></ul></nav>
</div>
</div>
</div>
<nav id="nav-menu-search" class="shadow-md" style="display: none;">
<div class="layout-wrapper">
<form class="form-inline" role="search" method="get" action="economics/search">
<input id="nav-search" name="s" type="search" placeholder="Search Economics..." value="">
<button class="btn btn-sm btn-primary" type="submit">
Search
</button>
<a href="#" class="toggle-menu-search" title="Close">
<i class="fa fa-lg fa-times gray"></i>
</a>
</form>
</div>
</nav>
<div class="layout-wrapper">
<div id="container" class="container-fluid">
<div id="content">
<div class="row-fluid">
<div id="left-column" class="span3"> <div id="userbox">
<div class="dropdown" style="display: flex; align-items: center;">
<a href="#" data-toggle="dropdown" class="dropdown-toggle btn">
<img style="width: 16px; height: 16px; margin: -2px 0 0 0;" src="../../../thinkib/user/generic/32-generic-user.png">
IB Docs (2) Team <i class="fa fa-caret-down"></i>
</a>
<ul class="dropdown-menu" id="menu1">
<li class="dropdown-submenu"><a href="#" data-toggle="dropdown" class="dropdown-toggle"><i class="fa fa-caret-right fixwidth gray"></i> IBDP Business Management</a><ul class="dropdown-menu" style="padding: 0; border-radius: 3px; margin-left: -4px; margin-top: -1px;"><li><a href="../../../businessmanagement-5.html?lg=51189"><i class="fa fa-group gray fixwidth"></i> 1</a></li><li><a href="../../../businessmanagement-6.html?lg=51192"><i class="fa fa-group gray fixwidth"></i> 2</a></li></ul></li><li><a href="../../../economics-1.html?lg=50735"><i class="fa fa-caret-right fixwidth gray"></i> IBDP Economics</a></li><li class="divider"></li><li><a href="../../../index-2.htm"><i class="fa fa-dashboard fixwidth colored"></i> Dashboard</a></li><li><a href="../../../index-3.htm?pan=tasks"><i class="fa fa-pencil fixwidth colored"></i> All tasks</a></li><li><a href="../../../index-2.htm"><i class="fa fa-user fixwidth colored"></i> My profile</a></li>
<li class="divider"></li>
<li>
<a href="../../../index-2.htm?logout=1">
<i class="fa fa-power-off fixwidth"></i> Log out
</a>
</li>
</ul>
</div>
</div><div style="margin: 20px 0;"><a href="../../sitemap.html" class="btn btn-default btn-block"><i class="fa fa-sitemap fixwidth colored"></i>Sitemap</a></div><div id="topicsnav" style="margin: 0; padding: 0px;"> <div class="row-fluid accordion-group" style="border: 0px; margin-bottom: 0px;"> <div style="padding: 6px 4px 6px 8px; background: #204a87;"> <a class="accordion-toggle std-header" style="color: #fff; text-shadow: 1px 1px 1px #444; padding: 0px; text-decoration: none; font-size: 16px; font-weight: 400;" data-toggle="collapse" data-parent="#topicsnav" href="#side-box-topics-list"> <i class="fa fa-caret-right fa-rotate-90 white" style="margin-left: 4px;"></i> Topics </a> <span id="sidetreecontrol"> <a title="Collapse all" rel="collapse" href="#"> <i class="fa fa-minus-circle"></i> </a> <a title="Expand all" rel="expand" href="#"> <i class="fa fa-plus-circle"></i> </a> </span> </div> <div id="side-box-topics-list" class="accordion-body in collapse"> <div class="accordion-inner" style="line-height: 1.7em; padding: 0;"> <nav class="side-nav" id="sidemenu"><ul class="level-0 always-expanded"><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../20131/start-here.html" title="Start here">Start here</a></li><ul class="level-1 "><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../46026/getting-started-for-students.html" title="Getting started for students">Getting started for students</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../45198/predicted-grade-calculator.html" title="Predicted grade calculator">Predicted grade calculator</a></li><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Using the student access on the site ">Using the student access on the site </a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32021/giving-students-access-to-the-inthinking-site.html" title="Giving students access to the Inthinking site">Giving students access to the Inthinking site</a></li></ul><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20150/recommended-reading-.html" title="Recommended reading ">Recommended reading </a></li><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Economics games">Economics games</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../26967/activities-and-simulations.html" title="Activities and simulations">Activities and simulations</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../41381/crosswords.html" title="Crosswords">Crosswords</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Old curriculum resources">Old curriculum resources</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29986/price-discrimination-old-syllabus-hl.html" title="Price discrimination (old syllabus) HL">Price discrimination (old syllabus) HL</a></li></ul></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../27378/the-ib-core.html" title="The IB core">The IB core</a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../1583/extended-essay.html" title="Extended essay">Extended essay</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../27917/the-5-year-rule-in-economics-.html" title="The 5 year rule in economics ">The 5 year rule in economics </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21411/using-the-ee-markbands-.html" title="Using the EE markbands ">Using the EE markbands </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21412/focus-on-the-criteria-.html" title="Focus on the criteria ">Focus on the criteria </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20780/extended-essay-checklist.html" title="Extended essay checklist">Extended essay checklist</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20786/exemplar-extended-essay-.html" title="Exemplar extended essay ">Exemplar extended essay </a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../20819/annotated-extended-essay-sample-1-grading-criteria.html" title="Annotated extended essay sample 1 (grading criteria)">Annotated extended essay sample 1 (grading criteria)</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../36082/annotated-extended-essay-sample-1.html" title="Annotated extended essay sample 1">Annotated extended essay sample 1</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../36110/annotated-extended-essay-sample-1-grading-criteria.html" title="Annotated extended essay sample 1 (grading criteria)">Annotated extended essay sample 1 (grading criteria)</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20792/annotated-extended-essay-sample-2.html" title="Annotated extended essay sample 2">Annotated extended essay sample 2</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../20820/annotated-extended-essay-sample-2-grading-criteria.html" title="Annotated extended essay sample 2 (grading criteria)">Annotated extended essay sample 2 (grading criteria)</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../26701/annotated-extended-essay-sample-3.html" title="Annotated extended essay sample 3">Annotated extended essay sample 3</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../26702/annotated-extended-essay-sample-3-grading-criteria.html" title="Annotated extended essay sample 3 (grading criteria)">Annotated extended essay sample 3 (grading criteria)</a></li></ul></ul></ul><li class="ancestor parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right fa-rotate-90"></i><a class="" href="../32112/textbook.html" title="Textbook">Textbook</a></li><ul class="level-1 expanded"><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../33061/contents-page.html" title="Contents page">Contents page</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../37990/textbook-approach-to-the-new-ib-economics-examination-specificat.html" title="Textbook approach to the new IB Economics examination specification">Textbook approach to the new IB Economics examination specification</a></li><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../33060/chapter-1-introduction-to-economics.html" title="Chapter 1: Introduction to Economics">Chapter 1: Introduction to Economics</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32395/unit-11-introduction-to-economics.html" title="Unit 1.1: Introduction to Economics">Unit 1.1: Introduction to Economics</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32541/unit-12-how-do-economists-approach-the-world.html" title="Unit 1.2: How do economists approach the world?">Unit 1.2: How do economists approach the world?</a></li></ul><li class="ancestor parent" style="padding-left: 14px"><i class="expander fa fa-caret-right fa-rotate-90"></i><a class="" href="../33063/chapter-2-microeconomics.html" title="Chapter 2: Microeconomics">Chapter 2: Microeconomics</a></li><ul class="level-2 expanded"><li class="current" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="unit-21-demand-theory.html" title="Unit 2.1: Demand theory">Unit 2.1: Demand theory</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32555/unit-22-supply-theory.html" title="Unit 2.2: Supply theory">Unit 2.2: Supply theory</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32567/unit-23-competitive-market-equilibrium.html" title="Unit 2.3: Competitive market equilibrium">Unit 2.3: Competitive market equilibrium</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32575/unit-241-behavioural-economics-hl.html" title="Unit 2.4(1): Behavioural economics (HL)">Unit 2.4(1): Behavioural economics (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32798/unit-242-business-objectives-hl.html" title="Unit 2.4(2): Business objectives (HL)">Unit 2.4(2): Business objectives (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32663/unit-251-price-elasticity-of-demand-ped.html" title="Unit 2.5(1): Price elasticity of demand (PED)">Unit 2.5(1): Price elasticity of demand (PED)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32788/unit-252-income-elasticity-of-demand-yed--1.html" title="Unit 2.5(2): Income elasticity of demand (YED) ">Unit 2.5(2): Income elasticity of demand (YED) </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32789/unit-26-price-elasticity-of-supply-pes--1.html" title="Unit 2.6: Price elasticity of supply (PES) ">Unit 2.6: Price elasticity of supply (PES) </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../33388/unit-271-governments-in-markets-tax-and-subsidy-.html" title="Unit 2.7(1): Governments in markets - tax and subsidy ">Unit 2.7(1): Governments in markets - tax and subsidy </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../33424/unit-272-governments-in-markets-price-controls.html" title="Unit 2.7(2): Governments in markets - price controls">Unit 2.7(2): Governments in markets - price controls</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../33665/unit-281-market-failure-externalities.html" title="Unit 2.8(1): Market failure – externalities">Unit 2.8(1): Market failure – externalities</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../33808/unit-282-market-failure-merit-goods-and-demerit-goods-.html" title="Unit 2.8(2): Market failure - merit goods and demerit goods ">Unit 2.8(2): Market failure - merit goods and demerit goods </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34054/unit-283-government-intervention-to-manage-externalities-merit-a.html" title="Unit 2.8(3): Government intervention to manage externalities, merit and demerit goods ">Unit 2.8(3): Government intervention to manage externalities, merit and demerit goods </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34082/unit-284-common-access-pool-resources.html" title="Unit 2.8(4): Common access (pool) resources">Unit 2.8(4): Common access (pool) resources</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34087/unit-29-public-goods.html" title="Unit 2.9: Public goods">Unit 2.9: Public goods</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34247/unit-210-asymmetric-information-hl.html" title="Unit 2.10: Asymmetric information (HL)">Unit 2.10: Asymmetric information (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35118/unit-2111-market-power-theory-of-production-and-costs-hl.html" title="Unit 2.11(1) Market power - Theory of production and costs (HL)">Unit 2.11(1) Market power - Theory of production and costs (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35125/unit-2112-market-power-perfect-competitionhl.html" title="Unit 2.11(2) Market power - Perfect competition(HL)">Unit 2.11(2) Market power - Perfect competition(HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35147/unit-2113-market-power-monopolyhl.html" title="Unit 2.11(3) Market power - Monopoly(HL)">Unit 2.11(3) Market power - Monopoly(HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35151/unit-2114-market-power-monopolistic-competitionhl.html" title="Unit 2.11(4) Market power - Monopolistic competition(HL)">Unit 2.11(4) Market power - Monopolistic competition(HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35153/unit-2115-market-power-oligopolyhl.html" title="Unit 2.11(5) Market power - Oligopoly(HL)">Unit 2.11(5) Market power - Oligopoly(HL)</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../41603/economics-real-world-examples-and-extension-material-.html" title="Economics real world examples and extension material ">Economics real world examples and extension material </a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../43378/opportunity-cost-and-production-possibility-curves.html" title="Opportunity cost and production possibility curves">Opportunity cost and production possibility curves</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../42559/demand-theory.html" title="Demand theory">Demand theory</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../41886/the-price-mechanism.html" title="The price mechanism">The price mechanism</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../43188/market-demand-and-supply.html" title="Market demand and supply">Market demand and supply</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../41705/demerit-goods.html" title="Demerit goods">Demerit goods</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../42275/market-failure-and-climate-change.html" title="Market failure and climate change">Market failure and climate change</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../42925/market-power.html" title="Market power">Market power</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../42099/applying-game-theory.html" title="Applying game theory">Applying game theory</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../34407/chapter-3-macroeconomics.html" title="Chapter 3: Macroeconomics">Chapter 3: Macroeconomics</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34355/unit-311-measuring-the-level-of-economic-activity.html" title="Unit 3.1(1): Measuring the level of economic activity">Unit 3.1(1): Measuring the level of economic activity</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34432/unit-312-measuring-economic-development.html" title="Unit 3.1(2): Measuring Economic Development">Unit 3.1(2): Measuring Economic Development</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34485/unit-321-variations-in-economic-activity-aggregate-demand-ad-.html" title="Unit 3.2(1): Variations in economic activity - aggregate demand (AD) ">Unit 3.2(1): Variations in economic activity - aggregate demand (AD) </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34487/unit-322-variations-in-economic-activity-aggregate-supplyas.html" title="Unit 3.2(2): Variations in economic activity - aggregate supply(AS)">Unit 3.2(2): Variations in economic activity - aggregate supply(AS)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34758/unit-331-macroeconomic-objectives-economic-growth.html" title="Unit 3.3(1) Macroeconomic objectives: economic growth">Unit 3.3(1) Macroeconomic objectives: economic growth</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34771/unit-332-macroeconomic-objectives-unemployment-.html" title="Unit 3.3(2) Macroeconomic objectives: unemployment ">Unit 3.3(2) Macroeconomic objectives: unemployment </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34778/unit-333-macroeconomic-objectives-inflation-and-deflation--1.html" title="Unit 3.3(3) Macroeconomic objectives: inflation and deflation ">Unit 3.3(3) Macroeconomic objectives: inflation and deflation </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34925/unit-341-economics-of-inequality-and-poverty-1.html" title="Unit 3.4(1) Economics of inequality and poverty">Unit 3.4(1) Economics of inequality and poverty</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34946/unit-342-policies-to-improve-equality-equity-and-poverty.html" title="Unit 3.4(2) Policies to improve equality, equity and poverty">Unit 3.4(2) Policies to improve equality, equity and poverty</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34993/unit-35-government-management-of-the-economy-monetary-policy-1.html" title="Unit 3.5 Government management of the economy – monetary policy">Unit 3.5 Government management of the economy – monetary policy</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../34962/unit-36-government-management-of-the-economy-fiscal-policy-1.html" title="Unit 3.6 Government management of the economy – fiscal policy">Unit 3.6 Government management of the economy – fiscal policy</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35017/unit-371-market-based-supply-side-policies--1.html" title="Unit 3.7(1) Market based supply-side policies ">Unit 3.7(1) Market based supply-side policies </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35018/unit-372-interventionist-supply-side-policies-.html" title="Unit 3.7(2) Interventionist supply-side policies ">Unit 3.7(2) Interventionist supply-side policies </a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45803/economics-real-world-examples-and-extension-material--1.html" title="Economics real world examples and extension material ">Economics real world examples and extension material </a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../42639/measuring-economic-well-being-1.html" title="Measuring economic well-being">Measuring economic well-being</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../43044/inflation.html" title="Inflation">Inflation</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../42350/inequality.html" title="Inequality">Inequality</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../41639/inequity-1.html" title="Inequity">Inequity</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../35414/chapter-4-the-global-economy.html" title="Chapter 4: The Global Economy">Chapter 4: The Global Economy</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35346/unit-41-benefits-of-international-trade-1.html" title="Unit 4.1 Benefits of international trade">Unit 4.1 Benefits of international trade</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35348/unit-4243-trade-protectionism-1.html" title="Unit 4.2/4.3 Trade protectionism">Unit 4.2/4.3 Trade protectionism</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35407/unit-44-economic-integration-.html" title="Unit 4.4 Economic integration ">Unit 4.4 Economic integration </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35409/unit-45-exchange-rates-1.html" title="Unit 4.5 Exchange rates">Unit 4.5 Exchange rates</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35413/unit-46-balance-of-payments--1.html" title="Unit 4.6 Balance of payments ">Unit 4.6 Balance of payments </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35675/unit-47-sustainable-development.html" title="Unit 4.7 Sustainable development">Unit 4.7 Sustainable development</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35685/unit-48-measuring-development--1.html" title="Unit 4.8 Measuring development ">Unit 4.8 Measuring development </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35687/unit-49-barriers-to-economic-development-1.html" title="Unit 4.9 Barriers to economic development">Unit 4.9 Barriers to economic development</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../35702/unit-410-economic-growth-and-economic-development-strategies.html" title="Unit 4.10: Economic growth and economic development strategies">Unit 4.10: Economic growth and economic development strategies</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45804/economics-real-world-examples-and-extension-material-.html" title="Economics real world examples and extension material ">Economics real world examples and extension material </a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../41927/foreign-currency-1.html" title="Foreign currency">Foreign currency</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../43532/exchange-rates-1.html" title="Exchange rates">Exchange rates</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../43804/balance-of-payments.html" title="Balance of payments">Balance of payments</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../41796/economic-development-1.html" title="Economic development">Economic development</a></li></ul></ul></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../20132/units-1-2-microeconomics.html" title="Units 1-2: Microeconomics">Units 1-2: Microeconomics</a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Unit 1: Introduction to economics">Unit 1: Introduction to economics</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20091/introductory-activity-1.html" title="Introductory activity">Introductory activity</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20093/unit-11-scarcity-choice-and-opportunity-cost.html" title="Unit 1.1: Scarcity, choice and opportunity cost">Unit 1.1: Scarcity, choice and opportunity cost</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21647/factors-of-production-1.html" title="Factors of production">Factors of production</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20114/economic-systems.html" title="Economic systems">Economic systems</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../20134/public-and-private-sectors-1.html" title="Public and private sectors">Public and private sectors</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../28055/unit-12-economics-as-a-social-science-1.html" title="Unit 1.2: Economics as a social science">Unit 1.2: Economics as a social science</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29921/circular-flow-of-national-income.html" title="Circular flow of national income">Circular flow of national income</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29829/unit-1-review-terms-1.html" title="Unit 1: Review terms">Unit 1: Review terms</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../41600/introduction-to-economics-crossword-1.html" title="Introduction to economics crossword">Introduction to economics crossword</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../4331/unit-1-multiple-choice-quiz.html" title="Unit 1: Multiple choice quiz">Unit 1: Multiple choice quiz</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20177/unit-21-23-competitive-markets-demand-and-supply-1.html" title="Unit 2.1-2.3: Competitive markets - demand and supply">Unit 2.1-2.3: Competitive markets - demand and supply</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../28517/unit-21-demand-1.html" title="Unit 2.1: Demand">Unit 2.1: Demand</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22349/determinants-of-demand-1.html" title="Determinants of demand">Determinants of demand</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29949/unit-22-supply-.html" title="Unit 2.2: Supply ">Unit 2.2: Supply </a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../20184/changes-to-supply-and-demand-.html" title="Changes to supply and demand ">Changes to supply and demand </a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21992/practise-exercises-1.html" title="Practise exercises">Practise exercises</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../26112/gold-exchange-game-demand-and-supply-1.html" title="Gold exchange game: Demand and supply">Gold exchange game: Demand and supply</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20194/unit-23-competitive-market-equilibrium-1.html" title="Unit 2.3: Competitive market equilibrium">Unit 2.3: Competitive market equilibrium</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../20144/producer-and-consumer-surplus-1.html" title="Producer and consumer surplus">Producer and consumer surplus</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../22351/veblen-goods-and-super-luxury-goods-1.html" title="Veblen goods and super luxury goods">Veblen goods and super luxury goods</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25677/are-cryptocurrencies-the-new-tulipmania.html" title="Are Cryptocurrencies the new Tulipmania?">Are Cryptocurrencies the new Tulipmania?</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20472/unit-21-23-multiple-choice-quiz.html" title="Unit 2.1-2.3: Multiple choice quiz">Unit 2.1-2.3: Multiple choice quiz</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20113/unit-24-consumer-and-producer-behaviour-hl-only-1.html" title="Unit 2.4: Consumer and producer behaviour (HL only)">Unit 2.4: Consumer and producer behaviour (HL only)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../36073/behavioural-economics-consumer-biases-nudge-theory-hl-only-1.html" title="Behavioural economics: Consumer biases / nudge theory (HL only)">Behavioural economics: Consumer biases / nudge theory (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20378/business-objectives-hl-only.html" title="Business objectives (HL only)">Business objectives (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../28741/unit-21-24-review-terms--1.html" title="Unit 2.1-2.4: Review terms ">Unit 2.1-2.4: Review terms </a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20195/unit-25-26-elasticity-1.html" title="Unit 2.5-2.6: Elasticity">Unit 2.5-2.6: Elasticity</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../28713/unit-25-price-elasticity-of-demand-1.html" title="Unit 2.5: Price elasticity of demand">Unit 2.5: Price elasticity of demand</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21545/determinants-of-price-elasticity-.html" title="Determinants of price elasticity ">Determinants of price elasticity </a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21532/ped-elasticity-and-sales-revenue.html" title="PED elasticity and sales revenue?">PED elasticity and sales revenue?</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21259/unit-25-income-elasticity-of-demand-yed.html" title="Unit 2.5: Income elasticity of demand (YED)">Unit 2.5: Income elasticity of demand (YED)</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21200/unit-26-price-elasticity-of-supply.html" title="Unit 2.6: Price elasticity of supply">Unit 2.6: Price elasticity of supply</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../20207/perfectly-elastic-inelastic-supply-curves.html" title="Perfectly elastic / inelastic supply curves">Perfectly elastic / inelastic supply curves</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20230/a-mathematical-note-about-elasticity-.html" title="A mathematical note about elasticity ">A mathematical note about elasticity </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../39037/demand-and-supply-crossword.html" title="Demand and supply crossword">Demand and supply crossword</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29021/unit-25-26-review-terms-1.html" title="Unit 2.5-2.6: Review terms">Unit 2.5-2.6: Review terms</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20474/unit-25-26-multiple-choice-quiz--1.html" title="Unit 2.5-2.6: Multiple choice quiz ">Unit 2.5-2.6: Multiple choice quiz </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44474/unit-21-25-competitive-markets-quiz-1.html" title="Unit 2.1- 2.5: Competitive markets quiz">Unit 2.1- 2.5: Competitive markets quiz</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20243/unit-27-the-role-of-government-in-microeconomics--1.html" title="Unit 2.7: The role of government in microeconomics ">Unit 2.7: The role of government in microeconomics </a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../26590/indirect-taxation.html" title="Indirect taxation">Indirect taxation</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../20246/ped-and-the-burden-of-tax-hl-only-.html" title="PED and the burden of tax (HL only) ">PED and the burden of tax (HL only) </a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20277/government-subsidies--1.html" title="Government subsidies ">Government subsidies </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29117/unit-27-indirect-tax-and-subsidy-review-terms-1.html" title="Unit 2.7: Indirect tax and subsidy review terms">Unit 2.7: Indirect tax and subsidy review terms</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20287/price-controls-maximum-price--1.html" title="Price controls − maximum price ">Price controls − maximum price </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20288/minimum-price-.html" title="Minimum price ">Minimum price </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21540/minimum-wage-.html" title="Minimum wage ">Minimum wage </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../38849/labour-market-crossword-1.html" title="Labour market crossword">Labour market crossword</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29260/unit-27-price-controls-review-terms-1.html" title="Unit 2.7: Price controls review terms">Unit 2.7: Price controls review terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20303/unit-28-210-market-failure--1.html" title="Unit 2.8-2.10: Market failure ">Unit 2.8-2.10: Market failure </a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21543/unit-28-merit-goods--1.html" title="Unit 2.8: Merit goods ">Unit 2.8: Merit goods </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../23123/unit-28-demerit-goods-negative-externalities-1.html" title="Unit 2.8: Demerit goods / negative externalities">Unit 2.8: Demerit goods / negative externalities</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../38850/market-failure-crossword-1.html" title="Market failure crossword">Market failure crossword</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29262/unit-29-economics-of-the-environment-and-public-goods--1.html" title="Unit 2.9: Economics of the environment and public goods ">Unit 2.9: Economics of the environment and public goods </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20332/unit-210-asymmetric-information-hl-only-1.html" title="Unit 2.10: Asymmetric information (HL only)">Unit 2.10: Asymmetric information (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29828/unit-28-210-market-failure-review-sheet.html" title="Unit 2.8-2.10: Market failure review sheet">Unit 2.8-2.10: Market failure review sheet</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29827/unit-28-210-market-failure-review-terms.html" title="Unit 2.8-2.10: Market failure review terms">Unit 2.8-2.10: Market failure review terms</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20479/unit-27-210-multiple-choice-quiz--1.html" title="Unit 2.7-2.10: Multiple choice quiz ">Unit 2.7-2.10: Multiple choice quiz </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44501/unit-27-210-government-failure-revision-quiz-1.html" title="Unit 2.7-2.10 Government failure revision quiz">Unit 2.7-2.10 Government failure revision quiz</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20330/unit-211-market-power-hl-only-1.html" title="Unit 2.11: Market power (HL only)">Unit 2.11: Market power (HL only)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29835/assessment-map.html" title="Assessment map">Assessment map</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21528/production-hl-only.html" title="Production (HL only)">Production (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29978/revenue-theory-hl-only.html" title="Revenue theory (HL only)">Revenue theory (HL only)</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20357/costs-of-production-hl-only.html" title="Costs of production (HL only)">Costs of production (HL only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21286/economies-and-diseconomies-of-scale-hl-only.html" title="Economies and diseconomies of scale (HL only)">Economies and diseconomies of scale (HL only)</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22494/long-run-average-cost-curves-hl-only.html" title="Long run average cost curves (HL only)">Long run average cost curves (HL only)</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../29838/breakeven-hl-only.html" title="Breakeven (HL only)">Breakeven (HL only)</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20340/economic-profit-hl-only.html" title="Economic profit (HL only)">Economic profit (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../39082/market-power-crossword.html" title="Market power crossword">Market power crossword</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../22495/revision-exercise-on-cost-and-revenue-hl-only.html" title="Revision exercise on cost and revenue (HL only)">Revision exercise on cost and revenue (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29845/unit-211-costs-revenue-and-profit-review-sheet-hl-only.html" title="Unit 2.11: Costs, revenue and profit review sheet (HL only)">Unit 2.11: Costs, revenue and profit review sheet (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44484/unit-211-multiple-choice-quiz-sl-units-1.html" title="Unit 2.11: Multiple choice quiz (SL units)">Unit 2.11: Multiple choice quiz (SL units)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29846/market-structures-hl-only-1.html" title="Market structures (HL only)">Market structures (HL only)</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29981/perfect-competition-hl-only-1.html" title="Perfect competition (HL only)">Perfect competition (HL only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../24486/profit-in-perfect-competition-hl-only-1.html" title="Profit in perfect competition (HL only)">Profit in perfect competition (HL only)</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21302/efficiency-in-perfect-competition-hl-only.html" title="Efficiency in perfect competition (HL only)">Efficiency in perfect competition (HL only)</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20430/monopoly-hl-only-1.html" title="Monopoly (HL only)">Monopoly (HL only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../24529/profit-and-revenue-maximisation-in-monopoly-hl-only-1.html" title="Profit and revenue maximisation in monopoly (HL only)">Profit and revenue maximisation in monopoly (HL only)</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21306/a-comparison-of-monopoly-and-perfect-competition-hl-only-1.html" title="A comparison of monopoly and perfect competition? (HL only)">A comparison of monopoly and perfect competition? (HL only)</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20435/monopolistic-competition-hl-only-1.html" title="Monopolistic competition (HL only)">Monopolistic competition (HL only)</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20436/oligopoly-hl-only-1.html" title="Oligopoly (HL only)">Oligopoly (HL only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22310/game-theory-hl-only-1.html" title="Game theory (HL only)">Game theory (HL only)</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29918/unit-211-market-structures-review-sheet-hl-only-1.html" title="Unit 2.11: Market structures review sheet (HL only)">Unit 2.11: Market structures review sheet (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32337/unit-211-diagram-revision-.html" title="Unit 2.11: Diagram revision ">Unit 2.11: Diagram revision </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20480/unit-211-multiple-choice-quiz-hl-only-1.html" title="Unit 2.11: Multiple choice quiz (HL only)">Unit 2.11: Multiple choice quiz (HL only)</a></li></ul><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../32425/unit-212-the-markets-inability-to-achieve-equity-hl-only-1.html" title="Unit 2.12: The market’s inability to achieve equity (HL only)">Unit 2.12: The market’s inability to achieve equity (HL only)</a></li></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../21842/unit-3-macroeconomics-.html" title="Unit 3: Macroeconomics ">Unit 3: Macroeconomics </a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../3942/unit-31-measuring-economic-activity-and-illustrating-its-variati-1.html" title="Unit 3.1: Measuring economic activity and illustrating its variations">Unit 3.1: Measuring economic activity and illustrating its variations</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20558/calculating-national-income-1.html" title="Calculating national income">Calculating national income</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21297/gdp-gni-as-a-measure-of-living-standards.html" title="GDP / GNI as a measure of living standards">GDP / GNI as a measure of living standards</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20567/national-income-statistics-1.html" title="National income statistics">National income statistics</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21580/the-business-cycle-1.html" title="The business cycle">The business cycle</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29931/unit-31-economic-activity-review-sheet-1.html" title="Unit 3.1: Economic activity review sheet">Unit 3.1: Economic activity review sheet</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20592/unit-32-variations-in-economic-activityaggregate-demand-and-aggr-1.html" title="Unit 3.2: Variations in economic activity—aggregate demand and aggregate supply">Unit 3.2: Variations in economic activity—aggregate demand and aggregate supply</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../29933/aggregate-demand-and-supply.html" title="Aggregate demand and supply">Aggregate demand and supply</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21582/components-of-aggregate-demand-1.html" title="Components of aggregate demand">Components of aggregate demand</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20634/equilibrium-in-macroeconomics-neo-classical-perspective-1.html" title="Equilibrium in macroeconomics (neo-classical perspective)">Equilibrium in macroeconomics (neo-classical perspective)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20439/equilibrium-in-macroeconomics-keynesian-perspective-1.html" title="Equilibrium in macroeconomics (keynesian perspective)">Equilibrium in macroeconomics (keynesian perspective)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21349/john-maynard-keynes-1.html" title="John Maynard Keynes">John Maynard Keynes</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20650/keynesian-v-free-market-debate--1.html" title="Keynesian v free market debate ">Keynesian v free market debate </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21342/changes-in-the-long-run-aggregate-supply-1.html" title="Changes in the long run aggregate supply">Changes in the long run aggregate supply</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30055/unit-32-aggregate-demand-and-supply-review-sheet-1.html" title="Unit 3.2: Aggregate demand and supply review sheet">Unit 3.2: Aggregate demand and supply review sheet</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20610/unit-35-and-36-demand-management-fiscal-and-monetary-policy-1.html" title="Unit 3.5 and 3.6: Demand management - fiscal and monetary policy">Unit 3.5 and 3.6: Demand management - fiscal and monetary policy</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30058/government-budget.html" title="Government budget">Government budget</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21585/fiscal-policy--1.html" title="Fiscal policy ">Fiscal policy </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21343/multiplier-hl-only.html" title="Multiplier (HL only)">Multiplier (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21795/monetary-policy--1.html" title="Monetary policy ">Monetary policy </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30071/independent-central-banks-1.html" title="Independent central banks">Independent central banks</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30083/unit-35-and-36-review-sheet.html" title="Unit 3.5 and 3.6 review sheet">Unit 3.5 and 3.6 review sheet</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20615/unit-37-supply-side-policies-1.html" title="Unit 3.7: Supply side policies">Unit 3.7: Supply side policies</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20651/the-role-of-supply-side-policies-1.html" title="The role of supply side policies">The role of supply side policies</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20622/market-based-and-interventionist-supply-side-policies--1.html" title="Market based and interventionist supply side policies ">Market based and interventionist supply side policies </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../39129/aggregate-demand-and-supply-crossword-1.html" title="Aggregate demand and supply crossword">Aggregate demand and supply crossword</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30086/unit-37-review-sheet-1.html" title="Unit 3.7: Review sheet">Unit 3.7: Review sheet</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20755/unit-31-32-and-35-37-multiple-choice-quiz--1.html" title="Unit 3.1-3.2 and 3.5-3.7: Multiple choice quiz ">Unit 3.1-3.2 and 3.5-3.7: Multiple choice quiz </a></li></ul><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44522/unit-31-32-and-35-37-revision-quiz-1.html" title="Unit 3.1-3.2 and 3.5-3.7: Revision quiz">Unit 3.1-3.2 and 3.5-3.7: Revision quiz</a></li><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20686/unit-33-macroeconomic-objectives.html" title="Unit 3.3: Macroeconomic objectives">Unit 3.3: Macroeconomic objectives</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30118/unemployment.html" title="Unemployment">Unemployment</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21351/types-of-unemployment.html" title="Types of unemployment?">Types of unemployment?</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21593/equilibrium-unemployment-.html" title="Equilibrium unemployment ">Equilibrium unemployment </a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../21594/disequilibrium-unemployment-1.html" title="Disequilibrium unemployment">Disequilibrium unemployment</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../30458/unemployment-review-sheet-1.html" title="Unemployment review sheet">Unemployment review sheet</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20713/inflation--1.html" title="Inflation ">Inflation </a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../20712/measuring-inflation-hl-only-1.html" title="Measuring inflation (HL only)">Measuring inflation (HL only)</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../20685/costs-of-inflation-and-deflation-1.html" title="Costs of inflation and deflation">Costs of inflation and deflation</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../30465/inflation-review-sheet.html" title="Inflation review sheet">Inflation review sheet</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20716/unemployment-v-inflation-trade-off-hl-only-1.html" title="Unemployment v inflation trade off (HL only)">Unemployment v inflation trade off (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../39133/macroeconomic-objectives-crossword-1.html" title="Macroeconomic objectives crossword">Macroeconomic objectives crossword</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44511/unit-33-macroeconomic-indicators-revision-quiz-1.html" title="Unit 3.3: Macroeconomic indicators revision quiz">Unit 3.3: Macroeconomic indicators revision quiz</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20741/unit-34-economics-of-inequality-and-poverty-1.html" title="Unit 3.4: Economics of inequality and poverty">Unit 3.4: Economics of inequality and poverty</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32398/inequality-1.html" title="Inequality">Inequality</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21356/the-role-of-spending-and-taxation-on-inequality--1.html" title="The role of spending and taxation on inequality ">The role of spending and taxation on inequality </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21313/consequences-of-economic-growth-1.html" title="Consequences of economic growth">Consequences of economic growth</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30257/economic-growth-and-inequality-review-sheet-1.html" title="Economic growth and inequality review sheet">Economic growth and inequality review sheet</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20756/unit-33-34-multiple-choice-.html" title="Unit 3.3-3.4: Multiple choice ">Unit 3.3-3.4: Multiple choice </a></li></ul></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../21844/unit-4-global-economy.html" title="Unit 4: Global economy">Unit 4: Global economy</a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../21367/unit-41-benefits-of-international-trade.html" title="Unit 4.1: Benefits of international trade">Unit 4.1: Benefits of international trade</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30529/benefits-of-international-trade.html" title="Benefits of international trade">Benefits of international trade</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20823/absolute-and-comparative-advantage-hl-only-1.html" title="Absolute and comparative advantage (HL only)">Absolute and comparative advantage (HL only)</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20845/unit-42-43-trade-protection-1.html" title="Unit 4.2-4.3: Trade protection">Unit 4.2-4.3: Trade protection</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32419/barriers-to-trade-calculations-are-hl-only-1.html" title="Barriers to trade (calculations are HL only)">Barriers to trade (calculations are HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21610/case-study-on-tata-steel-1.html" title="Case study on Tata Steel">Case study on Tata Steel</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../23455/the-defence-industry-1.html" title="The Defence industry">The Defence industry</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30610/unit-41-43-review-sheet-1.html" title="Unit 4.1-4.3: Review sheet">Unit 4.1-4.3: Review sheet</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20894/unit-44-economic-integration--1.html" title="Unit 4.4: Economic integration ">Unit 4.4: Economic integration </a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30634/economic-integration-some-hl-tasks-1.html" title="Economic integration (some HL tasks)">Economic integration (some HL tasks)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20840/world-trade-organisation-wto-1.html" title="World trade organisation (WTO)">World trade organisation (WTO)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30635/unit-44-review-sheet-1.html" title="Unit 4.4: Review sheet">Unit 4.4: Review sheet</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20853/unit-45-exchange-rates-1.html" title="Unit 4.5: Exchange rates">Unit 4.5: Exchange rates</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30611/floating-exchange-rates-1.html" title="Floating exchange rates">Floating exchange rates</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../31824/fixed-managed-exchange-rate-systems-some-hl-tasks-1.html" title="Fixed / managed exchange rate systems (some HL tasks)">Fixed / managed exchange rate systems (some HL tasks)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21624/the-market-for-foreign-exchange-1.html" title="The market for foreign exchange">The market for foreign exchange</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30614/unit-45-review-sheet-1.html" title="Unit 4.5: Review sheet">Unit 4.5: Review sheet</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20859/unit-46-balance-of-payments-1.html" title="Unit 4.6: Balance of payments">Unit 4.6: Balance of payments</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30624/balance-of-payments--1.html" title="Balance of payments ">Balance of payments </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21386/current-account-hl-only-1.html" title="Current account (HL only)">Current account (HL only)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20872/the-marshall-lerner-condition-j-curve-hl-only-1.html" title="The Marshall-Lerner condition / J curve (HL only)">The Marshall-Lerner condition / J curve (HL only)</a></li></ul><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20899/units-41-46-multiple-choice-quiz--1.html" title="Units 4.1-4.6: Multiple choice quiz ">Units 4.1-4.6: Multiple choice quiz </a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42989/unit-41-46-multiple-choice-quiz-ii-1.html" title="Unit 4.1-4.6: Multiple choice quiz II">Unit 4.1-4.6: Multiple choice quiz II</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../39438/unit-41-46-international-trade-crossword-1.html" title="Unit 4.1-4.6: International trade crossword">Unit 4.1-4.6: International trade crossword</a></li><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../32423/unit-47-sustainable-development--1.html" title="Unit 4.7: Sustainable development ">Unit 4.7: Sustainable development </a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../26092/water-scarcity-activity-1.html" title="Water scarcity activity">Water scarcity activity</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32426/sustainable-development.html" title="Sustainable development">Sustainable development</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../20928/unit-48-measuring-development--1.html" title="Unit 4.8: Measuring development ">Unit 4.8: Measuring development </a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30686/measuring-development-1.html" title="Measuring development">Measuring development</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21627/economic-development--1.html" title="Economic development ">Economic development </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30679/unit-47-48-review-sheet.html" title="Unit 4.7-4.8: Review sheet">Unit 4.7-4.8: Review sheet</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Unit 4.9: Barriers to development">Unit 4.9: Barriers to development</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30727/barriers-to-development-in-international-trade-1.html" title="Barriers to development in International trade">Barriers to development in International trade</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../32430/unit-410-economic-growth-andor-economic-development-strategies-1.html" title="Unit 4.10: Economic growth and/or economic development strategies">Unit 4.10: Economic growth and/or economic development strategies</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30687/the-role-of-domestic-factors-1.html" title="The role of domestic factors">The role of domestic factors</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30688/the-role-of-international-trade-and-development-1.html" title="The role of international trade and development">The role of international trade and development</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30689/the-role-of-foreign-direct-investment-fdi-1.html" title="The role of foreign direct investment (FDI)">The role of foreign direct investment (FDI)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../25240/the-role-of-foreign-aid--1.html" title="The role of foreign aid ">The role of foreign aid </a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30819/multilateral-development-assistance-1.html" title="Multilateral development assistance">Multilateral development assistance</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21632/the-role-of-international-debt-1.html" title="The role of international debt">The role of international debt</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../25242/the-balance-between-markets-and-intervention-1.html" title="The balance between markets and intervention">The balance between markets and intervention</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../30926/unit-49-410-review-sheet.html" title="Unit 4.9 - 4.10: Review sheet">Unit 4.9 - 4.10: Review sheet</a></li></ul></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../21380/assessment.html" title="Assessment">Assessment</a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Internal assessment ">Internal assessment </a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../20608/how-to-write-your-ia-student-handout.html" title="How to write your IA? (student handout)">How to write your IA? (student handout)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21428/how-to-interpret-the-assessment-criteria-1.html" title="How to interpret the assessment criteria?">How to interpret the assessment criteria?</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Grading practise ">Grading practise </a></li><ul class="level-3 "><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Sample 3a">Sample 3a</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../32083/sample-3b-1.html" title="Sample 3b">Sample 3b</a></li></ul></ul></ul><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../32022/assessment-markbands-1.html" title="Assessment markbands">Assessment markbands</a></li></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../4332/exam-style-questions.html" title="Exam style questions">Exam style questions</a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Paper 1 style examination questions">Paper 1 style examination questions</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../40100/unit-211-212-questions.html" title="Unit 2.11-2.12 questions">Unit 2.11-2.12 questions</a></li></ul><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../45102/paper-1-guidance-on-essay-writing-1.html" title="Paper 1 guidance on essay writing">Paper 1 guidance on essay writing</a></li></ul></ul></nav> </div> </div> </div> </div><div style="margin-top: 20px;"><style type="text/css">
.studyib-link {
display: inline-block;
overflow: hidden;
font-size: 1.2em;
font-weight: normal;
margin: 10px;
transition: transform .2s; /* Animation */
}
#left-column .studyib-link {
font-size: 1em;
font-weight: normal;
margin: 5px;
transition: transform .2s; /* Animation */
}
#left-column .studyib-advert h2 {
font-size: 1.35em;
}
.studyib-link:hover {
transform: scale(1.2);
}
.studyib-link > img {
width: 2em; height: 2em;
margin: 0;
float: left;
}
.embed-responsive {
position: relative;
display: block;
height: 0;
padding: 0;
margin: 15px 0;
}
.embed-responsive-16by9 {
padding-bottom: 56.25%;
}
.embed-responsive iframe {
position: absolute;
top: 0;
left: 0;
bottom: 0;
height: 100%;
width: 100%;
border: 0;
}
.studyib-advert {
padding: 20px;
background: #E7EDF5;
border: solid 1px #EFF;
/* margin-left: 70px; */
}
.studyib-advert .heading {
display: flex;
flex-direction: row;
align-items: center;
}
.studyib-advert .heading img {
margin-right: 15px;
}
.studyib-advert .heading span {
color: #444
}
.studyib-advert h2,
.studyib-advert h3 {
margin: 0;
}
.studyib-advert .body {
margin-top: 20px;
}
</style>
<div class="studyib-advert">
<div class="heading">
<img src="../../../thinkib/header-thinker-sib.svg" height="50" width="50" class="pull-left" alt="InThinking Revision Sites">
<div>
<h2>INTHINKING REVISION SITES</h2>
<span><em>Own your learning</em></span>
</div>
</div>
<div class="body">
<p>Why not also try our independent learning self-study & revision websites for students?</p>
<p>We currenly offer the following DP Sites: Biology, Chemistry, English A Lang & Lit, Maths A&A, Maths A&I, Physics, Spanish B</p>
<p>
<em>"The site is great for revising the basic understandings of each topic quickly.
Especially since you are able to test yourself at the end of each page and easily see where yo need to improve."</em>
</p>
<p><em>"It is life saving... I am passing IB because of this site!"</em></p>
<p>Basic (limited access) subscriptions are FREE. Check them out at:</p>
<div class="text-center">
<h3>
<a href="//studyib.net">www.StudyIB.net</a>
</h3>
</div>
</div>
</div>
</div></div><!-- /#left-column-->
<div id="main-column" class="span9"> <article id="unit-21-demand-theory" style="margin-top: 16px;">
<h1 class="section-title">Unit 2.1: Demand theory</h1>
<ul class="breadcrumb"><li><a title="Home" href="../../../economics.html"><i class="fa fa-home"></i></a><span class="divider">/</span></li><li><span class="gray">Textbook</span><span class="divider">/</span></li><li><span class="gray">Chapter 2: Microeconomics</span><span class="divider">/</span></li><li><span class="active">Unit 2.1: Demand theory</span></li></ul>
<div class="row-fluid">
<section class="span12" id="main-content">
<div class="intro-card"><div class="bg-cover" style="background-image: url("/media/ib/economics/images/textbook/market-theory/complements.png");"></div><img src="../../../ib/economics/images/textbook/market-theory/complements.png" style="display: none"><div class="content"><p class="text">Unit 2.1 is the first section in microeconomics. In our introduction to Economics, we considered the question of how resources are allocated in society and the first step to answering this question is examined in this chapter. Demand for goods and services is critical in understanding how markets work and allocate scarce resources.</p></div></div><div class="box"><div class="panel panel-has-footer" style="box-shadow: rgba(17, 34, 51, 0.3) 0px 10px 30px -15px; border-color: rgb(39, 45, 105);"><div class="panel-heading" style="background-color: rgb(39, 45, 105);"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><strong>What you should know by the end of this chapter:</strong></p></div></div><p><img alt="" height="217" src="../../../ib/economics/images/textbook/market-theory/joanna3.jpg" style="float: right;" width="381"></p><ul><li>Law of demand</li><li>Income and substitution effects (HL only)</li><li>Law of diminishing marginal utility (HL only)</li><li>Demand curve</li><li>Relationship between individual consumer demand and market demand</li><li>Non-price determinants of demand</li><li>Movements along the demand curve and shifts of the demand curve</li></ul><div class="panel-body"><div></div></div></div></div><div class="greyBg"><h3>Revision material</h3><p><img alt="" src="../../../ib/economics/images/textbook/revision-material/logo.jpg" style="width: 200px; height: 95px; float: left;">The link to the attached pdf is revision material from <strong>Unit 2.1: Demand theory. </strong>The revision material can be downloaded as a student handout.</p><p><a href="../../../media/ib/economics/images/textbook/market-theory/demand-questions/2.1-demand.pdf.html" target="_blank" title="Revision"><img class="ico" src="../../../thinkib/icons/revision.png"> Revision notes</a></p></div><div class="blueBg"><h3><strong>The importance of markets</strong></h3><div class="polaroid-left"><img src="../../../ib/economics/images/textbook/market-theory-1/oil-market.png" style="margin: 8px 0px; width: 254px; height: 199px;" title="https://www.tehrantimes.com/news/437034/Oil-market-should-expect-oversupply-in-2020-IEA-says"><div class="caption">The world market for oil is worth $86 trillion</div></div>The market is a central feature of the study of microeconomics. A market for a good or service exists where buyers and sellers interact and the price and quantity of the product traded is established. Markets can be narrowly defined (the market for the touch screen iPad in Australia) or broadly defined (the world market for oil).<hr class="hidden"><p>Neoclassical economic theory is the behaviour of markets based on demand and supply. The theory is focused on four basic theoretical market structures that are used to analyse how markets behave. The four structures are:</p><ul><li>Perfect competition</li><li>Monopolistic competition</li><li>Oligopoly</li><li>Monopoly</li></ul><p>*Detailed theory on these market structures is set out in chapters 2.11(2) - 2.11(4).</p><h3><strong>Defining demand </strong></h3><p>Demand is the willingness and ability of consumers to pay a sum of money for a good or service at a given price and at a given point in time. Demand theory comes from the ‘human wants’ part of the central economic problem. Individuals want to buy goods and services because of the satisfaction they gain from consuming them. For example, the demand for social media sites like Facebook and Instagram is partly based on the human desire to interact with different groups and individuals.</p><h3><strong>The law of demand – how price affects quantity demanded</strong></h3><div class="dottedBox"><p>*In the analysis of demand and supply in Unit 2.1 and Unit 2.2 both the demand and supply curves are used in the diagrams to illustrate how different variables affect demand and supply in markets. In the coverage of demand in this chapter, an upward sloping supply curve is used to represent the output of firms in different markets. This is covered in detail in Unit 2.2. Changes in demand and supply in markets will affect price and output in markets and this is covered in detail in Unit 2.3 on competitive market equilibrium.</p></div><p>The law of demand states that as the price of a good or service rises, the quantity demanded falls and as the price of a good falls, the quantity demanded rises (ceteris paribus). As such, there is a negative relationship between price and quantity demanded.</p><h4><strong>The demand curve </strong><img alt="" height="289" src="../../../ib/economics/images/textbook/market-theory/picture-2.png" style="float: right;" width="462"></h4><p>The demand curve or demand schedule shows the negative relationship between the price and quantity demanded of a good or service. This is shown in diagram 2.1 where the quantity demanded of the iPad increases from 20m units to 30m units as the price of them falls from $400 to $300. In this case, the price has fallen because the supply of the iPad has increased because of improvements in technology.</p><hr class="hidden"><h5><strong>Real income effect (HL)</strong></h5><p>The real income effect can be used to explain the law of demand because a change in the price of a good affects the income households have available to buy the good. As the price of a good falls, the quantity demanded increases partly because of the real income effect. At a lower price, consumers can afford more of the product than at higher prices. In this case, the fall in the price of the iPad from $400 to $300 makes them more affordable to consumers, so the quantity demanded rises. The opposite occurs if the price of the iPad rises and consumers have effectively less real income to buy the good.</p><h5><strong>Substitution effect (HL)</strong></h5><p>The substitution effect is based on the price of a good or service relative to alternative products consumers can buy to satisfy the same or similar human want. As the price of a good falls, the quantity demanded rises partly because the good offers greater satisfaction to the consumer per unit of money spent compared to its substitutes. For example, if the price of the iPad falls, it offers more satisfaction per unit of money spent compared to its substitutes. This means consumers substitute towards the iPad away from PCs. The opposite occurs if the price of a good rises and it offers less satisfaction per unit of money spent compared to its substitutes. </p></div><div class="pinkBg"><div class="panel" style="box-shadow: rgba(0, 0, 19, 0.3) 0px 10px 30px -15px; border-color: rgb(39, 45, 105);"><div class="panel-heading" style="background-color: rgb(39, 45, 105);"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><h4><strong>Inquiry case example - The falling price of the mobile phone</strong></h4></div></div><div class="panel-footer" style="background-color: rgba(39, 45, 105, 0.1);"><div><p>text</p></div></div></div><p><img alt="" height="205" src="../../../ib/economics/images/textbook/inquiry-case-example-questions/mobile-phone-demand.jpg" style="float: right;" width="487">The price of mobile phones has fallen dramatically since they were first released onto the consumer market in the United States in the early 1980s. The data in the table sets out the change in price and ownership of mobile phones from 1993 to 2013 in the US.</p><hr class="hidden"><p><a href="../../../media/ib/economics/images/textbook/market-theory/demand-questions/questions-on-mobile-phones.pdf.html" target="_blank" title="Questions"><img class="ico" src="../../../thinkib/icons/question.png"> Worksheet questions</a></p><p><strong>Questions</strong></p><p><strong>a. Define the term demand. [2]</strong></p><section class="tib-hiddenbox"><p>Demand is the willingness and ability of consumers to pay a sum of money for a good or service at a given price and at a given point in time.</p></section><p><strong>b. Outline the law of demand. [2]</strong></p><section class="tib-hiddenbox"><p>The law of demand states that as the price of a good or service rises, the quantity demanded falls and as the price of a good falls, the quantity demanded rises.</p></section><p><strong>c. Explain the income and substitution effects as the price of mobile phones falls from 1983 to 2003. [4]</strong></p><section class="tib-hiddenbox"><p>The income effect shows that as the price of mobile phones has fallen from 1983 to 2003, they have become more affordable for consumers as their price accounts for a smaller proportion of consumer income.</p><p>The substitution effect shows how the fall in the price of mobile phones makes them relatively less expensive compared to substitute goods such as land-line phones which makes mobile phones more attractive to buy.</p></section><p><strong>d. Explain two reasons that might account for the ownership of mobile phones increasing from 2003 to 2013 even though the price has increased. [4]</strong></p><section class="tib-hiddenbox"><p>The ownership of mobile phones might have increased from 2003 to 2013 because the quality of the mobile phone has improved which makes the phone more attractive to buyers even though it is at a higher price. The iPhone, for example, offered more sophisticated features than the Blackberry such as touchscreen use and a better visual display.</p></section><p><strong>e. Explain two reasons that might account for an increase in demand for mobile phones. [10]</strong></p><section class="tib-hiddenbox"><p>Answers might include:<img alt="" src="../../../ib/economics/images/textbook/inquiry-case-example-questions/mobile-phone-demand2.jpg" style="float: right; width: 400px; height: 265px;"></p><ul><li>Definition of demand</li><li>The diagram shows an increase in demand for mobile phones from D to D1.</li><li>An explanation that the demand for mobile phones might have increased because of a fall in the price of complementary goods to mobile phones such as data usage and contract costs.</li><li>An explanation that the demand for mobile phones might have increased because mobile phones are a normal good and there are rising household incomes.<hr class="hidden"></li><li>An explanation that the demand for mobile phones might have increased because the quality of the mobile phone has improved which makes phones more attractive to buyers.</li><li>An explanation that the demand for mobile phones might have increased because of changes in consumer tastes and preferences towards mobile phones which could have been affected by advertising and promotion.</li><li>Example of an increase in the demand for mobile phones such as the Apple iPhone.</li></ul></section><h5><strong>Investigation</strong></h5><p><strong>Research into another consumer good where the price of the product has fallen over time and ownership has increased. </strong></p><hr class="hidden"></div><div class="blueBg"><h4><strong>The law of diminishing marginal utility</strong></h4><p><strong>Utility</strong></p><p>Utility theory is based on looking at demand in terms of the satisfaction an individual receives from consuming a good or service. The more satisfaction an individual receives from consuming a good the greater their demand for that good. A person’s satisfaction can be measured in terms of the number of utils they gain from consuming a good or service. A util is a unit of satisfaction. Total utility is the total satisfaction an individual derives from consuming successive units of a good.</p><p><strong>Marginal utility</strong></p><p>Marginal utility is the satisfaction an individual receives from the last unit of the good they consume and is measured in utils. In demand theory, you can relate the marginal utility someone gets from consuming a good to the price they are prepared to pay for the good. The higher the marginal utility a person gets from consuming a good, the higher the price they are prepared to pay for the good.</p><div class="polaroid-center"><img height="251" src="../../../ib/economics/images/textbook/market-theory/utility-table.png" style="margin: 8px 0px; float: left;" width="615"><div class="caption"></div></div><p>The law of diminishing marginal utility states that for each extra unit of a good consumed by an individual, the marginal utility they receive from consuming the good falls. This is shown in the table where a person is consuming increasing units of chocolate biscuits.</p><hr class="hidden"><p><img alt="" height="160" src="../../../ib/economics/images/textbook/market-theory/chocolate-biscuits.png" style="float: left;" title="https://www.eurosuper.net/Biscuits---Sweets/Leibniz/bahlsen-leibniz-choco-vollmilch-milk-chocolate-biscuits-125g.html?language=en" width="216">For each extra biscuit, the individual consumes the marginal utility falls. Consider the utility data in the table. When you are hungry the first biscuit will give you lots of satisfaction (15 utils) but as you consume increasing numbers of biscuits the marginal utility of each extra biscuit falls because you get less and less satisfaction from consuming each biscuit. Eventually, you will reach a point of consumption where you get no satisfaction at all from the good, which is the case with the fifth biscuit (0 utils).</p><hr class="hidden"><p><strong>Relationship between total utility and marginal utility </strong></p><p><img alt="" height="276" src="../../../ib/economics/images/textbook/market-theory/picture-4.png" style="float: right;" width="442">The relationship between total utility and marginal utility and units consumed is shown in diagram 2.2. If you relate the marginal utility from consuming each biscuit to the price the individual is prepared to pay for the biscuit in the table, you can see the price the individual is willing to pay falls as consumption increases because the marginal utility falls.</p><hr class="hidden"><p><strong>Marginal utility and the law of demand</strong></p><p>The law of diminishing marginal utility can be used to explain the law of demand. If individuals get less marginal utility from the higher quantities they consume, they will be willing to pay a lower price. As quantity increases, price decreases. If an individual receives more marginal utility from less quantity consumed then they will be willing to pay a higher price. As quantity decreases, price increases.</p><p>This is shown in the table where the amount the individual is prepared to pay for the chocolate biscuits goes down as their marginal utility diminishes. For example, the individual in the table is prepared to pay 0.75c for the first biscuit they consume because they receive 15 utils (marginal utility) of satisfaction from its consumption, but are only willing to pay 0.20c for the fourth biscuit because they get 3 utils (marginal utility) of satisfaction from its consumption.</p></div><div class="pinkBg"><div class="panel panel-purple"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><h4>Inquiry case example - Utility at an all-you-can-eat restaurant</h4></div></div><div class="panel-footer"><div></div></div></div><p><img alt="" src="../../../ib/economics/images/textbook/market-theory/demand-questions/diner.jpg" style="float: right; width: 400px; height: 374px;">Many people enjoy an all-you-can-eat restaurant because the opportunity to eat limitless amounts of food is an attractive proposition when you are hungry. Some restaurants see this as a profitable business model because they can charge customers a fixed price for a limited menu. Some customers may well spend more in the all-you-can-eat situation because they would stop eating (and spending) when their total utility is maximised which is not the case in an all-you-can-eat restaurant because the customer has already paid the total price for the food.</p><hr class="hidden"><p>The table shows the total of consuming food in an all-you-can-eat restaurant.</p><table><tbody><tr><td style="text-align: center;"><strong>Units consumed</strong></td><td style="text-align: center;"><strong>Marginal utility </strong> </td></tr><tr><td style="text-align: center;">1</td><td style="text-align: center;">12</td></tr><tr><td style="text-align: center;">2</td><td style="text-align: center;">17</td></tr><tr><td style="text-align: center;">3</td><td style="text-align: center;">10</td></tr><tr><td style="text-align: center;">4</td><td style="text-align: center;">3</td></tr><tr><td style="text-align: center;">5</td><td style="text-align: center;">-7</td></tr></tbody></table><h5><a href="../../../media/ib/economics/images/textbook/market-theory/demand-questions/questions-on-utility.pdf.html" target="_blank" title="Questions"><img class="ico" src="../../../thinkib/icons/question.png"> Worksheet questions</a></h5><h5><strong>Questions</strong></h5><p><strong>a. Define the term utility. [2]</strong></p><section class="tib-hiddenbox"><p>Utility is the satisfaction an individual receives from consuming a good.</p></section><p><strong>b. From the data in the table calculate the following:</strong></p><p><strong>(i) The total utility of consuming 5 units of food in the restaurant. [2]</strong></p><section class="tib-hiddenbox"><p>12 + 17 + 10 + 3 + -7 = 35 utils</p></section><p><strong>(ii) The level of consumption that maximises the individual's utility. [2]</strong></p><section class="tib-hiddenbox"><p>12 + 17 + 10 + 3 = 42 utils is maximum utility</p></section><p><strong>c. Explain the link between the price a consumer is willing to pay for units of food and the marginal utility they receive from consuming the food. [4]</strong></p><section class="tib-hiddenbox"><p>As the individual consumes more units of food the marginal utility they receive falls (law of diminishing marginal utility) and the price they are prepared to pay for the food decreases as they receive less marginal utility.</p></section><h5>Investigation</h5><p>Research an all-you-can-eat-restaurant and think about the reasons why it might be an effective business model.</p></div><div class="blueBg"><h3>Relationship between an individual consumer’s demand and market demand</h3><p>The market demand curve for a good or service is derived by summing the demand curves of all the individuals in the market. In the market for music streaming, for example, the quantity demanded of each consumer at a given price is added together to get the market demand at that price.</p><h3><strong>Price of related goods and demand</strong></h3><hr class="hidden"><h4><strong>Substitutes</strong><img alt="" height="286" src="../../../ib/economics/images/textbook/market-theory/picture-5.png" style="float: right;" width="447"></h4><p>A substitute for a good is an alternative product that can be used to satisfy a similar want in place of a good. A substitute for the iPad, for example, would be laptops. The more precisely a good is defined the easier it is to find substitutes for it. One brand of laptop computer, such as Sony, has many close substitutes from firms such as Panasonic, LG and Lenovo. There are also substitutes for Sony laptops such as personal computers and smartphones, but these are not as close as the branded alternatives.</p><hr class="hidden"><p>There is a positive relationship between the price of a substitute for a good and the demand for the good itself. If the price of laptops, a substitute for the iPad falls, then the demand for the iPad will fall as consumers substitute away from the iPad to the relatively lower-priced laptop. </p><p>Changes in the price of a substitute for a good cause a change in demand for the good and the demand curve shifts. This means the quantity demanded for a good changes at each price. In our IPad example, a fall in the price of laptops causes the demand for the iPad to shift to the left. The fall in demand for the iPad is shown in diagram 2.3. As demand falls, the price of the iPad and the quantity traded both fall.</p><hr class="hidden"><h4><strong>Complements</strong></h4><div class="polaroid-left"><img height="227" src="../../../ib/economics/images/textbook/market-theory/complements.png" style="margin: 8px 0px; float: right;" title="https://circle-tech.co.uk/collections/computer-accessories" width="370"><div class="caption">The complements of the personal computer.</div></div><p>A complement is a good that can be consumed together with another good. The complements for the iPad include goods such as broadband connection, iPad stylus, cases, screen protectors and apps. For example, if you buy an iPad you may also want to get a broadband connection in your house to access the internet on your tablet or buy some apps to access different web-based services.</p><hr class="hidden"><p>There is a negative relationship between the price of a complement for a good and the demand for the good itself. If the price of a complementary good for the iPad, such as broadband connection falls, then the demand for the iPad increases. This is shown in diagram 2.4.</p></div><div class="pinkBg"><div class="panel" style="box-shadow: rgba(0, 0, 19, 0.3) 0px 10px 30px -15px; border-color: rgb(39, 45, 105);"><div class="panel-heading" style="background-color: rgb(39, 45, 105);"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><h4>Inquiry case example - Everyone is cycling now</h4></div></div><div class="panel-footer" style="background-color: rgba(39, 45, 105, 0.1);"><div><p>text</p></div></div></div><p><img alt="" height="194" src="../../../ib/economics/images/textbook/inquiry-case-example-questions/cycling.png" style="float: right;" width="321">Shops can barely keep up with demand as bikes – and even parts – sell out. Sport England’s figures show a huge increase in cycling over the last two years. Steve Garidis, the executive director of the Bicycle Association, the body that represents the industry in the UK, says the number of people cycling in the UK will continue to increase as cycling grows in popularity as a sport, cycling infrastructure improves and the price of petrol remains high.</p><hr class="hidden"><p>One factor working against cycling is an increase in the price of bikes over the last 12 months. Manufacturers have struggled with supply chain problems and an increase in the cost of bike components.</p><p><em>Adapted from https://www.theguardian.com/</em></p><p><a href="../../../media/ib/economics/images/textbook/market-theory/demand-questions/questions-on-cycling.pdf.html" target="_blank" title="Questions"><img class="ico" src="../../../thinkib/icons/question.png"> Worksheet questions</a></p><h5><strong>Questions</strong></h5><p><strong>a. Outline two substitute goods for bicycles. [2]</strong></p><section class="tib-hiddenbox"><p>A substitute good for bicycles would be an alternative good that could fulfil a similar want such as a moped or public transport such as a bus.</p></section><p><strong>b. Using a diagram explain the impact of rising demand for bicycles might have on the demand for a complementary good for bicycles. [4]</strong></p><section class="tib-hiddenbox"><p><img alt="" src="../../../ib/economics/images/textbook/inquiry-case-example-questions/helmets.jpg" style="float: right; width: 400px; height: 254px;">As the demand for bicycles increases there could be an increase in demand for bicycle lights, repairs, cycle clothing and helmets, etc. For example, the demand for helmets would increase in demand from D to D1.</p></section><h5>c. Using the income and substitution effect, explain how an increase in the price of bicycles will affect the quantity demanded for bicycles. [4]</h5><section class="tib-hiddenbox"><p>As the price of bicycles increases, they become more expensive relative to substitute goods such as bus travel (substitution effect). Higher-priced bikes also mean buyers will have less available income to spend on bicycles (real-income effect). The combination of the income and substitution effect means an increase in the price of bicycles leads to a fall in quantity demanded.</p></section><h5><strong>Investigation</strong></h5><p>Research another market that experienced an increase in demand during the Covid 19 pandemic.</p></div><div class="blueBg"><h4><strong>Income and demand</strong></h4><p>There are four basic relationships between the demand for a good and consumer income.</p><h5><strong>Normal goods</strong><img alt="" height="297" src="../../../ib/economics/images/textbook/market-theory/picture-6.png" style="float: right;" width="449"></h5><p>Normal goods demonstrate a positive relationship between income and demand. As income rises the demand for normal goods rises, and as income falls, demand falls. This is shown by shifts in the demand curve for a good. Most goods are normal goods. If household incomes rise they will spend more money on food, transport, housing, furniture etc. For example, a rise in income would lead to a rise in demand for the iPad, as shown in diagram 2.4 with a rise in price and quantity sold. </p><hr class="hidden"><h4><strong>Necessity goods</strong></h4><p>Necessity goods are a type of normal good. They are goods that consumers need to sustain their normal lives. They include basic staple foods like bread and rice, housing, electricity and clothing. As household incomes rise, demand for necessity goods will increase, but at a less than proportionate rate than the increase in income. For example, if a person gets a 5 per cent pay rise may well use more electricity, but we might expect their consumption of electricity to rise by only 2 per cent.</p><h4><strong>Luxury goods</strong></h4><div class="polaroid-right"><img src="../../../ib/economics/images/textbook/market-theory/luxury-brands.png" style="margin: 8px 0px; width: 295px; height: 154px;" title="https://www.pinterest.co.uk/pin/733734964272406418/"><div class="caption">Luxury clothing brands.</div></div><p>Luxury goods are another type of normal good. Economists sometimes refer to luxury goods when there is a strong positive correlation between income and demand. As household incomes increase, the demand for luxury goods increases by a greater than proportionate amount relative to the rise in income. This normally applies to goods and services consumers do not need to buy to sustain their lives, such as holidays, branded clothing, restaurant meals and tickets to the cinema.</p><hr class="hidden"><h4><strong>Inferior goods</strong></h4><p><img alt="" height="289" src="../../../ib/economics/images/textbook/market-theory/inferior-good.jpg" style="float: left;" width="421">Inferior goods show a negative relationship between income and demand. As household incomes rise, the demand for an inferior goods falls and as incomes fall, demand for an inferior goods rises. This relationship often applies to lower-priced goods such as tinned fruit and vegetables, processed meats and manmade fibre clothing. Diagram 2.5 shows a rise in demand for tinned fruit as incomes fall in a recession.</p><h4></h4></div><div class="pinkBg"><div class="panel panel-has-footer" style="box-shadow: rgba(17, 34, 51, 0.3) 0px 10px 30px -15px; border-color: rgb(39, 45, 105);"><div class="panel-heading" style="background-color: rgb(39, 45, 105);"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><h4><strong>Inquiry case example - The Swiss prestige watch market</strong></h4></div></div></div><p><img alt="" height="219" src="../../../ib/economics/images/textbook/market-theory/picture-26.jpg" style="float: left;" title="https://www.kronos360.com/en/rolex-gmt-master-2-batman-116710blnr-12683.html" width="293">The most recent data from the Swiss Watch Industry shows sales of watches up 7.1% last year. Growth in overseas markets has been led by Hong Kong (+21%), US (+8%) and China (+14%). The prestige watch market has seen particularly strong growth with sales up 11%, while watches at the less expensive end of the market experiencing only a 2% rise in sales. Leading Swiss brands such as Rolex, Patek Philippe, Longines and Jaeger-LeCoultre have all seen particularly strong sales growth.</p><hr class="hidden"><p>The prestige watch market is a good example of a luxury good and how demand is affected by rising incomes. But not all watches are at the prestige end of the market some brands at the less expensive end of the market will only experience a modest rise in sales as incomes rise and for some demand might even fall.</p><h5><a href="../../../media/ib/economics/images/textbook/market-theory/demand-questions/questions-on-watches.pdf.html" target="_blank" title="Questions"><img class="ico" src="../../../thinkib/icons/question.png"> Worksheet questions</a></h5><h5><strong>Questions</strong></h5><p><strong>a. Define the term necessity good. [2]</strong></p><section class="tib-hiddenbox"><p>A necessity good is a good with a positive relationship between changes in demand and changes in income but the change in income causes a less than proportionate change in demand.</p></section><p><strong>b. Explain the difference between a luxury good and a normal good. [4]</strong></p><section class="tib-hiddenbox"><p>The demand for normal goods and luxury goods has a positive relationship with income. As incomes increase the demand for both of them increases. Luxury goods are normal goods but they have a strong relationship between the demand for them and changes in income. For example, the demand for watches will increase as incomes rise but the demand for luxury watches will increase more than proportionally.</p></section><p><strong>c. Using a diagram, explain why the demand for certain brands of watch might fall as income increases. [4]</strong></p><section class="tib-hiddenbox"><p><img alt="" src="../../../ib/economics/images/textbook/inquiry-case-example-questions/inferior-watch-brand.jpg" style="float: right; width: 400px; height: 256px;">Certain brands of cheap watches might be inferior goods. As incomes rise the demand for inferior watch brands would decrease and this could be shown by a fall in demand from D to D1 in the diagram.</p></section><h5>Investigation</h5><p><strong>Research another market for prestige goods and investigate what has happened to demand in that market over the last two years.</strong></p></div><div class="blueBg"><h3><strong>Other factors that change demand</strong></h3><h4><strong>Population and demographics</strong></h4><p>Population changes can have a significant impact on the demand for a good because it affects the number of consumers in the market. Population growth at a national or local level will cause a rise in demand for many goods and services, but it is often most noticeable in the demand for goods such as transport, housing, education and healthcare. At a global level, a rise in the world’s population leads to a rise in demand for goods such as food and water. In terms of population structure, there is an ageing population in many developed countries which has led to a rise in demand for healthcare-related goods and services.</p><hr class="hidden"><h4><strong>Consumer taste</strong><img alt="" height="218" src="../../../ib/economics/images/textbook/market-theory/nike.png" style="float: right;" title="https://www.google.co.uk/search?q=nike+advert&sxsrf=ALeKk01lfEN74L-kohSMAnW-DsGhZ6U6Uw:1584277718224&source=lnms&tbm=isch&sa=X&ved=2ahUKEwiL3_q0xpzoAhXGSsAKHemcD6gQ_AUoAXoECA0QAw#imgrc=8i9KygESmxsj7M" width="311"></h4><p>Consumer tastes change over time due to social and cultural changes. The rise in demand for vegetarian and vegan food is partly due to social change, as more people give up eating meat for animal welfare, and environmental and health reasons. Firms can influence consumer taste through advertising and promotion. The huge sums spent by the sports businesses Nike and Adidas have a major impact on the demand for the products they sell.</p><h5></h5><h4><strong>Price expectations</strong></h4><p>The demand for a good or service in the present can be affected by consumers’ expectations of what the price for that product might be in the future. If, for example, a government plans to increase indirect taxes on new cars, consumers may decide to buy their car now rather than wait until the tax increases the price of the car in the future. This could increase the demand for new cars in the present.</p><p>Expectations are particularly important in asset markets like shares and houses. Expectations of a future rise in house prices can increase the demand for houses in the present and this makes the price of houses rise now and into the future. For example, if a person expects the price of houses to rise by 10 per cent next year, then they buy a house now and own an asset that may be worth 10 per cent more in a year’s time.</p></div><div class="pinkBg"><div class="panel panel-has-footer" style="box-shadow: rgba(17, 34, 51, 0.3) 0px 10px 30px -15px; border-color: rgb(39, 45, 105);"><div class="panel-heading" style="background-color: rgb(39, 45, 105);"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><h4><strong>Inquiry case example - Live music is booming in the UK </strong></h4></div></div></div><p>Record numbers of people are going to watch live music. Attendances at concerts and festivals have seen a 12% rise in numbers last year. A UK music study has found that audience numbers have reached 30.9 million in 2019, up nearly 25% from 2015. Over 4 million people attended music festivals in 2019. This is clear evidence that the live music market is flourishing in the UK. Ticket sales and merchandise are the main ways in which most artists in the music industry earn their revenue. Research has shown that people are willing to travel from all parts of the UK to attend events, and many people come into the UK from abroad to watch their favourite bands. Music tourism increased by 20% in 2019, with nearly 1 million people travelling to the UK from abroad to attend concerts.</p><p>The<strong><img alt="" src="../../../ib/economics/images/textbook/market-theory/picture-18.png" style="float: right; width: 360px; height: 193px;" title="https://www.inverse.com/article/9215-adele-live-in-new-york-city"></strong>re is clear evidence of an increase in demand for live music. There are several factors to think about here:</p><ul><li>A change in taste and preferences towards the live music experience</li><li>Improved quality of live music events</li><li>The range of artists performing live</li><li>Rising household incomes</li><li>Effective advertising and promotion of music events.<hr class="hidden"></li></ul><h5><a href="../../../media/ib/economics/images/textbook/market-theory/demand-questions/questions-on-music(1).pdf.html" target="_blank" title="Questions"><img class="ico" src="../../../thinkib/icons/question.png"> Worksheet questions</a></h5><h5><strong>Question</strong></h5><p><strong>Explain two reasons for a rise in the demand for live music. [10]</strong></p><section class="tib-hiddenbox"><p>Answers might include:<img alt="" src="../../../ib/economics/images/textbook/inquiry-case-example-questions/live-music.jpg" style="float: right; width: 400px; height: 254px;"></p><ul><li>Definition of demand.</li><li>A diagram showing a rise in demand for live music. The diagram opposite shows an increase in demand for live music from D to D1</li><li>An explanation of how a rise in demand for live music could be caused by rising incomes assuming live music is a normal good.</li><li>An explanation that a rise in the price of a substitute good such as the cinema could increase the demand for live music.<hr class="hidden"></li><li>An explanation of how a fall in the price of complements such hotels and transport could increase the demand for live music.</li><li>An explanation that a change in consumer taste and preferences in favour of live music could increase the demand for it.</li></ul><p>Note - a fall in the price of live music should not be included because it changes quantity demanded not demand.</p></section><h5><strong>Investigation</strong></h5><p><strong>Do some research into a growing market in your economy. Think about the reasons why it is increasing in size.</strong></p></div><div class="panel panel-has-footer" style="box-shadow: rgba(51, 0, 0, 0.3) 0px 10px 30px -15px; border-color: rgb(124, 7, 21);"><div class="panel-heading" style="background-color: rgb(124, 7, 21);"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p>Thinking about a key concept - Economic well-being</p></div></div><div class="panel-body"><div><p>Economic well-being relates to the living standards and overall level of prosperity enjoyed by the population in a country. Demand theory can be related to living standards and prosperity in terms of the goods and services people want to buy. Some goods and services add more to the quality of someone's life than others.</p><p><strong>Do you think high demand and consumption of healthy food such as fresh vegetables are likely to add more to economic well-being than high demand and consumption of luxury watches?</strong></p></div></div></div><div class="panel panel-has-footer" style="box-shadow: rgba(17, 34, 51, 0.3) 0px 10px 30px -15px; border-color: rgb(39, 45, 105);"><div class="panel-heading" style="background-color: rgb(39, 45, 105);"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><h4>Now test yourself</h4></div></div></div><ul></ul><div><hr align="left" size="1" width="33%"><div><div id="_com_1"><div class="tib-quiz" data-quiz-id="969" data-structure="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" data-score-answers="6d4a526a457a48584f763758344a7649472f76324c53614b78524c393439595570496d5a5971374b38686f3d"><div class="exercise"><div class="q-question"><p>The law of demand states:</p></div><div class="q-answer"><p><label class="radio" data-answer="0956013ad76b29ca18fca93352912696"><input type="radio"><span>A decrease in price leads to an increase in quantity demanded</span></label></p><p><label class="radio" data-answer="fea4eed54b98dac65437cf1a5d94f15a"><input type="radio"><span>As price increases quantity demanded increases</span></label></p><p><label class="radio" data-answer="794bfa44d75c773ab71a1c892beac909"><input type="radio"><span>When income increases quantity demanded increases</span></label></p><p><label class="radio" data-answer="f5e8cc7eaff03e3e0164b699002b3a98"><input type="radio"><span>Demand creates its own supply</span></label></p></div><div class="q-explanation"><p>The law of demand is the negative relationship between price and quantity demanded.</p></div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><p> </p><div class="exercise"><div class="q-question"><p>As the price of smartphones decreases quantity demanded increases because of all of the following except:</p></div><div class="q-answer"><p><label class="radio" data-answer="32cb3080f3ab013e2bfb7ffa5c2562c5"><input type="radio"><span> The real income effect</span></label></p><p><label class="radio" data-answer="e706d752cab7e952dd5acaa96348a4a3"><input type="radio"><span> There is substitution towards smartphones away from tablet computers </span></label></p><p><label class="radio" data-answer="9d2171dde710f01ea6c9dbb0e970fc78"><input type="radio"><span> A lower price means more people can afford a smartphone</span></label></p><p><label class="radio" data-answer="2b1145095044b2ab9c0d4b36fe1f20b7"><input type="radio"><span> There is substitution away from smartphones towards tablet computers</span></label></p></div><div class="q-explanation"><p>The income and substitution effects increase the quantity demanded for smartphones when their price decreases.</p></div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><div class="exercise"><div class="q-question"><p>Which of the following would have caused the demand curve for a normal good to shift from D to D1 in the diagram?</p><p><img alt="" src="../../../ib/economics/images/textbook/mc-questions/demand-falling.jpg" style="width: 323px; height: 207px; float: right;"></p></div><div class="q-answer"><p><label class="radio" data-answer="0cd01bd034dd7b1bee11a6a0f8596c1a"><input type="radio"><span>Rise in the price of a substitute for the good</span></label></p><p><label class="radio" data-answer="b0e0a064ec314d5af1da65931f374cbe"><input type="radio"><span>Fall in the price of a complementary good</span></label></p><p><label class="radio" data-answer="892b537c6a5fed96ff12b98836edbd65"><input type="radio"><span>Fall in consumer income</span></label></p><p><label class="radio" data-answer="bcd910e6fb42053ee0b6611b00ec03fd"><input type="radio"><span>Promotional campaign for the good</span></label></p></div><div class="q-explanation">A consumer income falls buyers can afford less of the good and demand falls.</div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><p> </p><div class="exercise"><div class="q-question"><p>Which of the following is unlikely to be a complementary good for a bicycle?</p></div><div class="q-answer"><p><label class="radio" data-answer="d723056895cdc7c0edf89cc00431ed2b"><input type="radio"><span>Cleated cycling shoes</span></label></p><p><label class="radio" data-answer="82f90e2f7354ca298a92ab8a01d6c2a3"><input type="radio"><span>Scooter</span></label></p><p><label class="radio" data-answer="e1f238e1860b16d1139607d92f612098"><input type="radio"><span>Lights</span></label></p><p><label class="radio" data-answer="892c9bcb7f44fac4aa7e03afcdc3e4ea"><input type="radio"><span>Pump</span></label></p></div><div class="q-explanation"><p>Scooters are more likely to be substitutes for bicycles. The others are complements.</p></div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><p> </p><div class="exercise"><div class="q-question"><p>When an individual drinks a third cup of coffee their total utility increases from 20 utils to 25 utils. From the second cup of coffee, their marginal utility is 8 utils. Which of the following is true?</p></div><div class="q-answer"><p><label class="radio" data-answer="2c3a99008ecc9a25daf1a9b99ec871c7"><input type="radio"><span>The individual's marginal utility is increasing as they consume the third cup</span></label></p><p><label class="radio" data-answer="c391b53454003dbf4d98696672c5b566"><input type="radio"><span>Marginal utility from the first cup consumed was 12 utils</span></label></p><p><label class="radio" data-answer="e62d0a127dd01a318744dbf9dec8b2c3"><input type="radio"><span>Law of diminishing marginal utility does not seem to apply in this case</span></label></p><p><label class="radio" data-answer="058f2a33ff96e07cd88b737de01b1df3"><input type="radio"><span>Marginal utility of the third cup is 25 utils</span></label></p></div><div class="q-explanation"><p>If the total utility of the second cup consumed is 20 utils and the second cup had a marginal utility of 8 utils then the first cup must have had a marginal utility of 12 utils.</p></div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><p> </p><div class="exercise"><div class="q-question"><p>A government has planned to put a subsidy on electric cars which will cause car prices to fall in 6 months time. Which of the following is the most likely outcome on the market for electric cars?</p></div><div class="q-answer"><p><label class="radio" data-answer="889cd72802d857ed06d3317d5370064f"><input type="radio"><span>There will be a fall in demand for electric cars in 6 months time</span></label></p><p><label class="radio" data-answer="eb11d2c953d46f6e24707dd6a79a641d"><input type="radio"><span>There will be an immediate fall in the demand for electric cars</span></label></p><p><label class="radio" data-answer="a1ee0d62f9bf7b217e52b9c35647e6de"><input type="radio"><span>The market price of electric cars will rise immediately</span></label></p><p><label class="radio" data-answer="9da7fe3869869c7d3e1efdce450a309d"><input type="radio"><span>There will be an immediate rise in demand for electric cars</span></label></p></div><div class="q-explanation"><p>The demand for electric cars is likely to fall immediately because consumers expect prices to fall in the future.</p></div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><p> </p><div class="exercise"><div class="q-question"><p>If consumers expect that the price of olive oil to increase in the future, what will happen to the equilibrium price and quantity of olive oil now?</p></div><div class="q-answer"><p><label class="radio" data-answer="e8de01c9afc39ceedd300e2a36c4600e"><input type="radio"><span> Price will decrease and quantity will increase</span></label></p><p><label class="radio" data-answer="2499be9c33f9e156ab5defda14671801"><input type="radio"><span> Price will increase and quantity will decrease</span></label></p><p><label class="radio" data-answer="f3c1e577827e81f68b0ccd7c291698ca"><input type="radio"><span> Price will increase and quantity will increase</span></label></p><p><label class="radio" data-answer="ddb9f052526cb72911102ea86917d399"><input type="radio"><span> The price and quantity will remain the same</span></label></p></div><div class="q-explanation"><p>Demand for olive oil shifts outwards as demand increases and this cause market price and quantity to increase.</p></div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><p> </p><div class="exercise"><div class="q-question"><p>A significant rise in the price of train travel is most likely to lead to a:</p></div><div class="q-answer"><p><label class="radio" data-answer="576c5381cc7ce5a7f3086b1967f3f445"><input type="radio"><span><span class="radio">Rise in the demand bus travel</span></span></label></p><p><label class="radio" data-answer="0eb8c591a0b6a7af8914406c8babe7cf"><input type="radio"><span> Fall in the demand for petrol</span></label></p><p><label class="radio" data-answer="8c0f91efa405866ff6ff6686320c1c1c"><input type="radio"><span> Fall in the demand for new cars</span></label></p><p><label class="radio" data-answer="d9fad3c7376ccadf72ccfca2e97c837d"><input type="radio"><span> Rise in the demand for car parking near train stations</span></label></p></div><div class="q-explanation"><p>The demand for buses as a substitute good will increase as the price of train travel increases.</p></div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><p> </p><div class="exercise"><div class="q-question"><p>A country has an ageing population. Which of the following is least likely to be true:</p></div><div class="q-answer"><p><label class="radio" data-answer="1ea260ca5c5123f8d08b1bac78037f14"><input type="radio"><span> Demand for reading glasses increases</span></label></p><p><label class="radio" data-answer="6716a80dfdb4d1d4ad02e5906e2436f9"><input type="radio"><span> Demand for hearing aids increases</span></label></p><p><label class="radio" data-answer="bd28b8f9fe280869907ea48ac394befe"><input type="radio"><span> Demand for braces (retainers) for teeth increases</span></label></p><p><label class="radio" data-answer="6c55485a9e3362e7cd82e5695793d096"><input type="radio"><span> Demand for drugs to treat arthritis increases</span></label></p></div><div class="q-explanation"><p>Teeth braces (retainers) are normally bought by parents for children or by young people.</p></div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><p> </p><div class="exercise"><div class="q-question"><p>Which of the following is least likely to be the consequence of falling household incomes in a recession?</p></div><div class="q-answer"><p><label class="radio" data-answer="c8ac9cadb1cc34e9996d5a277e69b439"><input type="radio"><span> Rise in demand for tinned fruit</span></label></p><p><label class="radio" data-answer="0eb798878c623eae675173e4072d40c6"><input type="radio"><span> Rise in demand for air travel</span></label></p><p><label class="radio" data-answer="f017d558d582a3b2e46c5e4b11838d64"><input type="radio"><span> Fall in demand for prestige cars</span></label></p><p><label class="radio" data-answer="274881e7ac27a92c651828d22afdc109"><input type="radio"><span> Fall in demand for new houses</span></label></p></div><div class="q-explanation"><p>Air travel is a normal/luxury good and in a recession demand for it will fall.</p></div><div class="actions"><span class="score" data-score="0"></span><button class="btn check"><i class="fa fa-check-square-o"></i> Check</button></div></div><p> </p><div class="totals"><span class="score">Total Score: </span><button class="btn btn-success check-total"><i class="fa fa-check-square-o"></i> Check</button></div></div><hr></div></div></div><script>document.querySelectorAll('.tib-teacher-only').forEach(e => e.remove());</script>
</section>
</div>
</article>
</div><!-- /#main-column -->
</div>
</div><!-- /#content -->
</div>
</div>
<div id="footer" class="student-access">
<div class="wmap">
<div class="layout-wrapper">
<p>
© <script>document.write(new Date().getFullYear())</script> <em>InThinking</em>
|
<a target="_self" href="https://thinkib.net/subscribe/about-us">
About us
</a>
|
<a target="_self" href="https://thinkib.net/subscribe/legal">
Legal
</a>
|
<a target="_self" href="https://thinkib.net/subscribe/contact">
Contact
</a>
</p>
<p>
<a class="social" target="_blank" href="https://twitter.com/#!/inthinker">
<img src="../../../social/twitter-square.svg"> Twitter
</a>
<a class="social" target="_blank" href="https://www.facebook.com/inthinking.net">
<img src="../../../social/facebook-square.svg"> Facebook
</a>
<a class="social" target="_blank" href="https://www.linkedin.com/company/9s4we1">
<img src="../../../social/linkedin-square.svg"> LinkedIn
</a>
</p>
</div>
</div>
</div>
<input id="tzoffset" type="hidden" value="-7200"><div id="modal-session-expired" class="modal fade" tabindex="-1" role="dialog" data-backdrop="static" data-keyboard="false">
<div class="modal-dialog" role="document">
<div class="modal-content">
<div class="modal-header">
<h3 style="margin-top: 0">Your session has expired</h3>
</div>
<div class="modal-body" style="padding: 10px;">
<p>You will have to reload and log in again.</p>
</div>
<div class="modal-footer">
<a id="session-expired" class="btn btn-danger pull-right" href="#">
<i class="fa fa-refresh"></i> Reload
</a>
</div>
</div>
</div>
</div>
<!-- Loading scripts at the end of the body means faster page loading -->
<script src="../../../js/jquery-1.10.2.min.js"></script>
<script src="../../../js/bootstrap.min.js"></script>
<script type="text/javascript" src="../../../js/jq-fancybox/jquery.fancybox.pack.js"></script>
<script src="../../../js/sidemenu/sidemenu.min.js?v=202011301145"></script><script src="../../../js/std-access/std-assignments-utils.min.js?v=202305221900"></script><script src="../../../js/std-access/std-comments-utils.min.js?v=202305221900"></script><script src="../../../js/std/std-task-utils.min.js?v=202305221900"></script><script src="../../../js/jq-mark.js/jquery.mark.min.js"></script><!-- MathJax only to render Math ML -->
<!--<script src="https://cdnjs.cloudflare.com/ajax/libs/mathjax/2.7.0/MathJax.js?config=TeX-AMS-MML_HTMLorMML"></script>-->
<script src="../../../ajax/libs/mathjax/2.7.0/MathJax.js?config=MML_HTMLorMML"></script>
<style>
.math-tex {
font-size: 1.15em !important;
}
.math-tex span.ML__text {
/*font-family: inherit !important;*/
}
.ML__text + .ML__mathit {
margin-left: 0 !important;
}
.math-tex img, .math-tex + img, span img {
box-shadow: none;
margin: 0;
}
body {
--keycap-height: 39px;
--keycap-font-size: 16px;
--keycap-shift-font-size: 9px;
--keycap-small-font-size: 9px;
--keycap-extra-small-font-size: 9px;
--keyboard-toolbar-font-size: 16px;
--keycap-gap: 1px;
}
</style>
<script src="../../../mathlive%400.95.4/dist/mathlive.min.js" async="" defer=""></script>
<script src="../../../%40cortex-js/compute-engine%400.12.3/dist/compute-engine.min.js" async="" defer=""></script>
<script type="text/javascript" src="../../../js/cortexjs-utils.min.js?v=20230810"></script>
<script>
window.addEventListener('load',
() => MathLive.renderMathInDocument()
);
</script>
<script>var isStudent = true;var siteName = "economics";</script><script type="text/javascript" src="../../../js/tib-quizzes-utils.min.js?v=20230810"></script>
<script>function ae3d259bb98bbcde5(gradeQuiz) {
var url = '/pages/quizzes/get-structure.php',
data = {
'ticket' : $('#ticket').val(),
'data-structure': gradeQuiz.dataStructure,
'score-answers' : gradeQuiz.scoreAnswers,
'std-answers' : gradeQuiz.stdAnswers,
'n-question' : gradeQuiz.nQuestion,
'std-task-id' : gradeQuiz.taskStdId,
'quiz-seconds' : gradeQuiz.quizSeconds,
'is-exam' : gradeQuiz.isExam,
'student-ID' : typeof studentID !== 'undefined' ? studentID : '',
'task-ID' : $('#task-ID').length ? $('#task-ID').val() : '',
'chk-correctness': gradeQuiz.button.data('chk-correctness') ? '1' : '0'
};
$.post(url, data, 'json').done(function(response){
var r = JSON.parse(response);
if (r.success == 1) {
if (gradeQuiz.checkTotal) {
logQuiz(gradeQuiz.button, gradeQuiz.quiz, r, gradeQuiz.notRequired);
} else {
// Check single exercise both from teacher and student side
if (!r.ss || !r.sa) {
alert('You cannot do this task again until after the deadline');
return false;
}
var logger = {};
var mScoreMark = checkExercise(gradeQuiz.exercise, r, gradeQuiz.nQuestion);
//Only needed on Student Access: one by one question log
if (typeof quizLogger === 'function') {
logger = quizLogger(gradeQuiz.quiz, mScoreMark, false);
}
//Only needed on Student Access
if (typeof saveQuizLog === 'function' && !$.isEmptyObject(logger)) {
saveQuizLog(logger, 10, 0);
}
gradeQuiz.button.remove();
}
}
if (r.success == 2) {
sendLogs = false;
// Show score only if allowed to show it
if (r.ss) {
var totalScore = r.score;
var totalMark = r.mark;
var scoreContainer = $('a.check-total').closest('.totals').find('span.score');
if (totalScore == 100) { scoreContainer.addClass('A'); }
else if (totalScore > 70) { scoreContainer.addClass('B'); }
else if (totalScore > 50) { scoreContainer.addClass('C'); }
else if (totalScore > 30) { scoreContainer.addClass('D'); }
else { scoreContainer.addClass('E'); }
scoreContainer.append('<strong>'+ totalMark +'</strong> <small style="opacity: .8">('+ totalScore +'%)</small>');
} else {
$('#quiz-checker').find('.score-container').remove();
}
$('#task-completed-badge').show();
$("html, body").animate({ scrollTop: $('#task-completed-badge').position().top });
controlExamInCombinedTask();
gradeQuiz.button.remove();
}
if (r.success == 0) {
alert(r.msg);
}
});
}
$(document).ready(function(){
if (!$('#ticket').length) {
var inputTicket = '<input type="hidden" id="ticket" value="fd6a5e8a06cfccf2">';
$('body').append(inputTicket);
}
$('section').on('click', '.tib-quiz #save-quiz-progress', function(e) {
e.preventDefault();
let button = $(this);
button.html("<i class=\"fa fa-fw fa-spinner fa-spin colored\"></i> Saving...");
setTimeout(function() {
button.html("<i class=\"fa fa-fw fa-check colored\"></i> Saved!");
}, 2000);
setTimeout(function() {
button.html("<i class=\"fa fa-fw fa-save\"></i> Save progress");
}, 4500);
});
/**
* Quiz final green CHECK button
*/
$('section').on('click', '.tib-quiz .check-total', function(e) {
e.preventDefault();
var body = $('body');
var button = $(this);
var quiz = $(this).closest('.tib-quiz');
var dataStructure = quiz.attr('data-structure');
var scoreAnswers = quiz.attr('data-score-answers');
var notRequired = false;
var taskID = $('#task-ID').length ? $('#task-ID').val() : '';
var taskStdId = $('#std-task-id').length ? $('#std-task-id').val() : '';
//Only for combined tasks
if (typeof button.attr('data-task-id') !== 'undefined') {
var taskID = button.attr('data-task-id');
$('#task-ID').val(taskID);
}
if (typeof button.attr('data-combined-task-required') !== 'undefined' && button.attr('data-combined-task-required') === 'short-answer') {
notRequired = true;
}
if (typeof scoreAnswers == 'undefined') {
scoreAnswers = null;
}
var quizSeconds = '';
if (typeof amountSecs != 'undefined') {
quizSeconds = amountSecs;
}
var isExam = false;
if (typeof examTime != 'undefined') {
isExam = true;
}
body.css('cursor', 'wait');
// Remove grade-by-question 'save progress' button
if ($('#save-quiz-progress').length) {
$('#save-quiz-progress').remove();
}
$.when(
// Collect the std answers
checkAllExercises(quiz)
).then(
function(stdAnswers) {
var gradeQuiz = {
button: button,
quiz: quiz,
dataStructure: dataStructure,
scoreAnswers: scoreAnswers,
stdAnswers: stdAnswers,
checkTotal: true,
nQuestion: null,
exercise: null,
notRequired: notRequired,
taskStdId: taskStdId,
quizSeconds: quizSeconds,
isExam: isExam
};
ae3d259bb98bbcde5(gradeQuiz);
body.css('cursor', 'default');
// Was the task already submitted time ago
if( $('#task-completed-badge').hasClass('already-submitted')) {
$('#task-completed-badge').show();
$('#return-my-tasks-q').show();
$("html, body").animate({ scrollTop: $('#task-completed-badge').position().top });
}
}
);
});
/**
* Quiz exercise individual CHECK button
*/
$('section').on('click', '.exercise .btn.check', function(e) {
e.preventDefault();
var body = $('body');
var button = $(this);
var exercise = button.closest('div.exercise');
var quiz = $(this).closest('.tib-quiz');
var dataStructure = quiz.attr('data-structure');
var scoreAnswers = quiz.attr('data-score-answers');
var nQuestion = 0;
//Only for combined tasks
if (typeof $('.check-total').attr('data-task-id') !== 'undefined') {
var taskID = $('.check-total').attr('data-task-id');
$('#task-ID').val(taskID);
}
if (typeof scoreAnswers == 'undefined') {
scoreAnswers = null;
}
var gradeQuiz = {
button: button,
quiz: quiz,
dataStructure: dataStructure,
scoreAnswers: scoreAnswers,
checkTotal: false,
nQuestion: nQuestion,
exercise: exercise,
notRequired: false,
};
body.css('cursor', 'wait');
quiz.find('.exercise').each(function(){
if ($(this)[0] == exercise[0]) {
$(this).find('.q-answer').find('input').attr('disabled', true);
if (quiz.find('.exercise .btn.check').length === 1) {
quiz.find('.check-total').trigger('click');
return;
}
gradeQuiz['nQuestion'] = nQuestion;
ae3d259bb98bbcde5(gradeQuiz);
body.css('cursor', 'default');
}
nQuestion++;
});
});
/**
* Quiz exercise individual RESET button
*/
$('section').on('click', '.exercise .btn.reset', function(e) {
e.preventDefault();
var btn_reset = $(this);
var exercise = $(this).closest('div.exercise');
var quiz = $(this).closest('.tib-quiz');
var url = '/pages/quizzes/get-self-study-question.php',
data = {
'ticket' : $('#ticket').val(),
'question-id' : exercise.data('id') ? exercise.data('id') : null
};
btn_reset.html('<i class="fa fa-spinner fa-spin"></i> Reset ');
$.post(url, data, function(response)
{
if(response['success'] == '1') {
var question = $('<div />').html( response['html'] );
if (question.find('div.exercise').length === 1) {
$.when(
exercise.html(question.find('div.exercise')[0].innerHTML)
).then(
tibQuiz(quiz),
limitMultipleChoiceAnswers(exercise),
dragOver(),
dragLeave(),
drop(),
bindDraggables(),
alertMaxCorrectAnswers(quiz),
addLettersBeforeOptions(false, exercise),
MathLive.renderMathInDocument()
);
}
}
else if (response['success'] == '0') {
btn_reset.html('<i class="fa fa-repeat"></i> Reset ');
alert(response['msg']);
}
}, 'json');
});
});</script>
<script type="text/javascript" src="../../../js/tib-quizzes.min.js?v=20230810"></script><script src="../../../js/header-circle.min.js?v=202305221900"></script><script type="text/javascript" src="../../../js/cookies.min.js"></script>
<script type="text/javascript">
// The cookies alert
if (! readCookie("displayCookieConsent") && ! readCookie("y") ) {
var cookieMSG = "We use cookies. By continuing to use this website you are giving consent to cookies being used.";
setTimeout(function() {
$.ajax({
cache: true,
url: "js/cookiechoices.js",
dataType: "script",
success: function () {
cookieChoices.showCookieConsentBar(cookieMSG, 'close', 'Read more', "economics/legal#cookies");
}
});
}, 2000);
}
</script><script>var sAJAX='/pages/activity/user-stats-page.php?t=fd6a5e8a06cfccf2&x=21226';var sData='0ebg+I>F/4F[IxZc+iZsoiQ1+jn2UjpCqiT2UM]en-]MIxZQo|c8U-/SUN>coNwsqxQ8hvT92OY[UxbMLNbYoiQChNf[5[bMLmTYqNu8/[g[qiTsqIbCowZ1qx/z]-]6/Obc2iZQ2|ncIj>u2vr[5[bg+NLc/[g[2|TMojTe+iTahNk[5[/M]4rM]ebZ';var loopSecs = 30;var lsKey = '3d8e89f12b4a0ac7ef6fa087347bce07';</script><script src="../../../js/user/user-stats-page.min.js?v=202102101800"></script><script>var sessionUpdateSecs = 600;</script><script type="text/javascript" src="../../../js/session-updater.js?v=20200831"></script>
<script type="text/javascript">
$(document).ready(function(){
function padLeft(str,max){return str.length<max?padLeft("0"+str,max):str}function padRight(str,max){return str.length<max?padRight(str+"0",max):str}$("body").on("click",'a[href="#"], a.fancybox-nav, a[data-toggle="tab"], a[data-toggle="dropdown"], a[data-toggle="collapse"], a[data-toggle="modal"]',(function(e){e.preventDefault()}));var topmenuOffset=0,topmenuHeight=0;function fixDiv(t,h){$(window).scrollTop()<topmenuOffset||$("#topmenu ul.level-1").is(":visible")?($("#topmenu").css({position:"",width:""}),$("#topmenu").removeClass("fixed-top"),$("body").css({"padding-top":"0"})):($("#topmenu").css({position:"fixed",top:"0",width:$("#topmenu").width()+"px"}),$("#topmenu").addClass("fixed-top"),$("body").css({"padding-top":topmenuHeight+"px"}))}function fixSearchNav(){var searchMenuTop=topmenuOffset+topmenuHeight,searchMenuH=$("#nav-menu-search").is(":visible")?$("#nav-menu-search").outerHeight():0;if($(window).scrollTop()>searchMenuTop-topmenuHeight){var borderBottomWidth=parseInt($("#topmenu").css("borderBottomWidth"))+1;$("#nav-menu-search").css({position:"fixed",top:topmenuHeight+borderBottomWidth+"px",left:"0",right:"0"}),$("#nav-menu-search").addClass("fixed-top"),$("body").css("padding-top",topmenuHeight+searchMenuH+"px")}else $("#nav-menu-search").css({position:""}),$("#nav-menu-search").removeClass("fixed-top"),$("body").css("padding-top","0")}$("#topmenu").length&&(topmenuOffset=$("#topmenu").offset().top,topmenuHeight=$("#topmenu").outerHeight(),fixDiv(),$(window).scroll((function(){fixDiv(),fixSearchNav()}))),$("a.toggle-menu-search").on("click",(function(e){e.preventDefault(),$("#nav-menu-search").slideToggle("fast",(function(){$(this).find('input[name="s"]').focus()}))}));var menuH=$("#topmenu").height(),itemH=$("#topmenu > nav > ul > li").height();function fancyScrollTo(id){$("html, body").animate({scrollTop:$("#"+id).offset().top-300},300)}function printSectionBlog(){var w=$(window).width()/2,h,windowSettings="height="+($(window).height()-100)+", width="+w+", left=0, top=0, resizable=no, ";windowSettings+="scrollbars=yes, toolbar=no, menubar=no, location=no, ",windowSettings+="directories=no, status=yes";var myWindow=window.open("","Page printer",windowSettings),containerHtml=["<html>","<head>","<title>Page printer</title>",'<link rel="stylesheet" type="text/css" href="'+window.location.origin+'/css/style.min.css?v=20230303">','<link rel="stylesheet" type="text/css" href="'+window.location.origin+"/css/style"+SITE_TAG+'.min.css?v=202104061357">','<link rel="stylesheet" type="text/css" href="'+window.location.origin+'/css/snippets.min.css?v=202210181500">','<link rel="stylesheet" type="text/css" href="'+window.location.origin+'/css/article.min.css?v=202212191730">',"</head>","<body>",$("section#main-content").html().replace(/<span\sclass="MJX_Assistive_MathML".*?<\/span>/g,""),"</body>","</html>"].join("");containerHtml=containerHtml.replace(/src="files\//gi,'src="'+window.location.origin+"/files/"),myWindow.document.write(containerHtml),myWindow.document.close(),myWindow.focus(),setTimeout((function(){$.when(myWindow.print()).then(myWindow.close())}),1e3)}function PopupPrint(target){window.print()}$("#topmenu > nav > ul > li").each((function(){if(menuH>itemH&&$(this).position().top<1){var i=itemH+1;$(this).find("ul:first").css("margin-top","-"+i+"px")}})),$("#topmenu > nav > ul > li").on("mouseenter mouseleave",(function(e){var submenu=$("ul:first",this),submenuW=submenu.width();$(this).offset().left+submenuW>$(window).width()&&(submenu.css("right","0"),submenu.find("ul").each((function(){if(!$(this).hasClass("fixed")){var l=$(this).width()+submenuW;$(this).css("margin-left","-"+l+"px"),$(this).addClass("fixed")}})))})),$("a.showhider").click((function(e){e.preventDefault();var box="#"+$(this).attr("rel"),show='<i class="fa fa-eye"></i>',hide='<i class="fa fa-eye-slash"></i>';$(box).slideToggle("fast"),$(this).html($(this).html()==show?hide:show),$(this).attr("title","Show"==$(this).attr("title")?"Hide":"Show")})),$("a.scroll-to").click((function(e){e.preventDefault();var n=$("#"+$(this).data("target")).offset().top-70;$("html, body").animate({scrollTop:n},300)})),$("a.print-section-blog").click((function(e){e.preventDefault(),printSectionBlog()})),$(".print-button").click((function(e){var target;e.preventDefault(),PopupPrint("#"+$(this).data("target-id"))})),$(".alert.alert-success").delay(6e3).hide("fast",fixDiv());var fancyParent=1==$("body").find($("#main-article")).length?"#main-article":"body",fancyOptions={loop:!1,openEffect:"elastic",closeEffect:"elastic",nextEffect:"fade",prevEffect:"fade",parent:fancyParent,helpers:{title:{type:"inside"}}};if($("ul.gallery").each((function(){var rel=$(this).find("li:first-child > a:first-child").attr("rel");$('ul.gallery a.fancy[rel="'+rel+'"]').fancybox(fancyOptions)})),$(".carousel.slide").each((function(){var rel="gallery-"+$(this).data("id");$('.carousel.slide a.fancy[rel="'+rel+'"]').fancybox(fancyOptions)})),$("img.pop").parent("a").each((function(){$(this).attr("title",$(this).children("img").attr("alt"))})),$("img.pop").parent("a").fancybox({loop:!1,helpers:{title:{type:"inside"}}}),!are_cookies_enabled()){var msg='<div class="alert alert-error"><i class="fa fa-warning"></i> Your browser does not accept cookies from this site. Please enable cookies to log in.</div><div class="alert alert-info"><i class="fa fa-question-circle"></i> Enabling cookies in <a target="_blank" style="margin: 0; padding: 0;" href="https://support.mozilla.org/en-US/kb/enable-and-disable-cookies-website-preferences">Firefox</a>, <a target="_blank" style="margin: 0; padding: 0;" href="https://support.google.com/accounts/answer/61416?hl=en">Chrome</a>, <a target="_blank" style="margin: 0; padding: 0;" href="http://windows.microsoft.com/en-us/windows-vista/block-or-allow-cookies">Explorer</a></div>';$("#modal-login .modal-header").append(msg)}if($(".panel-expandable > .panel-heading").click((function(e){e.preventDefault();var panel=$(this).closest(".panel-expandable"),expandables=panel.hasClass("panel-has-footer")?".panel-body, .panel-footer":".panel-body";panel.find(".panel-body").is(":visible")?(panel.find(expandables).slideUp("fast"),panel.find(".expander > .fa-minus").removeClass("fa-minus").addClass("fa-plus")):(panel.find(expandables).slideDown("fast"),panel.find(".expander > .fa-plus").removeClass("fa-plus").addClass("fa-minus"))})),$("#modal-find-out-more").css({width:.8*$("#container").width()+"px","margin-left":-.4*$("#container").width()+"px"}),$(".modal-xxl").length){var modalTopPos=Math.round(.07*$(window).height());$(window).width()>1200&&$(".modal-xxl").css({"max-width":$(window).width()>960?"960px":$(window).width()+"px",width:$(window).width()>960?"960px":$(window).width()+"px","margin-left":$(window).width()>960?"-480px":Math.round($(window).width()/2)}),$(".modal-xxl").css("top",modalTopPos+"px"),$(".modal-xxl").on("shown",(function(){var mHeaderH=$(this).find(".modal-header").outerHeight(),mBody=$(this).find(".modal-body"),mBodyH=mBody.outerHeight(),mFooterH=$(this).find(".modal-footer").outerHeight(),bottomOfTheModal=modalTopPos+mHeaderH+mBodyH+mFooterH;if(bottomOfTheModal<$(window).height())mBodyH+=$(window).height()-bottomOfTheModal-60,mBody.css("max-height",mBodyH+"px");else{$(window).scrollTop(0),modalTopPos=10,$(".modal-xxl").css("top",modalTopPos+"px"),bottomOfTheModal=modalTopPos+mHeaderH+mBodyH+mFooterH,availableScroll=bottomOfTheModal-$(window).height()+modalTopPos;var lastPos=-1;$(window).on("scroll",(function(){var s=$(window).scrollTop()>availableScroll?availableScroll:$(window).scrollTop();newPos=modalTopPos-s,newPos!=lastPos&&($(".modal-xxl").css("top",newPos+"px"),lastPos=newPos)}))}}))}function popupHelp(url,title,w,h){var dualScreenLeft=void 0!==window.screenLeft?window.screenLeft:screen.left,dualScreenTop=void 0!==window.screenTop?window.screenTop:screen.top,width,height,left=(window.innerWidth?window.innerWidth:document.documentElement.clientWidth?document.documentElement.clientWidth:screen.width)/2-w/2+dualScreenLeft,top=(window.innerHeight?window.innerHeight:document.documentElement.clientHeight?document.documentElement.clientHeight:screen.height)/2-h/2+dualScreenTop,newWindow=window.open(url,title,"menubar=no,location=no,resizable=0, width="+w+", height="+h+", top="+top+", left="+left);return window.focus&&(newWindow?newWindow.focus():$('<div class="alert alert-warning" style="margin-bottom: 0px;"><p class="help-block">Pop Up blocked. Please allow Pop Ups in your browser settings.</p></div>').insertBefore("body")),newWindow}if($(".open-student-access-help").click((function(e){e.preventDefault();var h=$(window).height()-20,w=$(window).width()<1280?$(window).width():1280;popupHelp(helpURL,"Student Access Help",w,h)})),$(".pop-up-help").click((function(e){e.preventDefault();var url=$(this).attr("href"),title=$(this).data("title"),h=$(window).height()-20,w;popupHelp(url,title,$(window).width()<1280?$(window).width():1280,h)})),$("section.tib-hiddenbox").length){var count=0;$($("section.tib-hiddenbox").get().reverse()).each((function(){var box=$(this),revealButton;$("<a />").attr("class","btn showhider").attr("rel","hiddenBoxContent"+count).attr("style","margin-bottom: 0;").html('<i class="fa fa-eye"></i>').insertBefore(box);var newContainer=$("<div />").attr("class","hidden-content").attr("id","hiddenBoxContent"+count).html(box.html());newContainer.hide(),newContainer.insertBefore(box),box.remove(),count++})),$("a.showhider").on("click",(function(e){var container=$("#"+$(this).attr("rel"));container.is(":hidden")?(container.fadeIn("fast"),$(this).html('<i class="fa fa-eye-slash"></i>')):(container.fadeOut("fast"),$(this).html('<i class="fa fa-eye"></i>'))}))}
$('img.ico[src="https://assets.inthinking.net/thinkib/icons/comments.png"]').each(function(){var comment=$(this).attr("title");$(this).removeAttr("title");$(this).wrap('<a class="tib-popover" href="#" data-content="'+comment+'" data-togle="popover" data-placement="top" />')});$('img.ico[src="https://assets.inthinking.net/thinkib/icons/comments.png"]').each(function(){var comment=$(this).attr("title");$(this).removeAttr("title");$(this).wrap('<a class="tib-popover" href="#" data-content="'+comment+'" data-togle="popover" data-placement="top" />')});$(".tib-popover").popover({html:true,trigger:"hover",delay:{show:300,hide:300},placement:function(context,source){var position=$(source).position();if(position.top>200){return"top"}if(position.left<515){return"right"}if(position.top<200){return"bottom"}if(position.left>515){return"left"}return"top"}}).click(function(e){e.preventDefault()});var carouselTime=6500;$("div.carousel.slide").carousel({interval:carouselTime});$(".tib-indicators > img").click(function(){var index=$(this).index();var container=$(this).closest(".carousel.slide");container.carousel(index)});setShowResultsListeners($("#container"));addMarksThreads($("#modal-std-write"));
$('a.btn.showhider').click(function(e) {
var showHiderId = $( this ).attr('rel');
if( $('#'+showHiderId).find('iframe').length > 0 ) {
$('#'+showHiderId+' iframe').each(function() {
if ( $(this).attr('src').indexOf('.pdf') > 0 ) {
this.contentWindow.location.reload(true);
}
});
}
});
});
</script>
</body>
</html>