Topics covered in this Unit

All candidates study these AS Level topics

• Demand and supply curves
• Price elasticity, income elasticity and cross-elasticities of demand
• Price elasticity of supply
• Interaction of demand and supply
• Market equilibrium and disequilibrium
• Consumer and producer surplus

A Level candidates also study these additional topics

• Law of diminishing marginal utility
• Indifference curves
• Budget lines
• Types of cost, revenue and profit, short-run and long-run production
• Different market structures
• Growth and survival of firms
• Differing objectives of a firm