IB Economics: Monopolies and Abnormal Profits

excite caps hat final 50 matching colourAmerica, considered a land of opportunity based on the principles of capitalism and a free market economy has seen huge and persistent profits which are largely sustainable because of a lack of healthy competition. Many firms are acting as monopolies or oligopolies with a tenth of the economy controlled by a handful of firms from dog food and batteries to airlines, credit cards and telecoms.

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IB ECONOMICS (HL): Paper 3 (Quantitative), Tips to score better

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This is my list of tips that should definitely help maximise your marks.

They look so obvious that you would be wondering why I took the trouble to post this ..yet it is amazing that so many of you keep on repeating the same mistakes again and again.

Paper 3, with its calculations and formulae (that you just need to memorise) is an excellent paper to score well on. Please take heed.

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IB ECONOMICS, International Trade: The real danger of Brexit

THe economist 50

Despite feeling limited by rules that bind the EU, leaving Europe in an attempt to reclaim its sovereignty weakens Britain’s trade relationships impacting its current account deficit as the EU takes almost half of Britain’s exports. Leaving Europe could have both short and long term implications on the British economy with financial markets recognising the dangers and the UK pound falling to its lowest value against the dollar  since 2009. 

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IB ECONOMICS: A simple explanation of falling oil prices

oil-explainer-feb-master1050The oil industry, with its history of booms and busts, is in its deepest downturn since the 1990s, if not earlier.

Earnings are down for companies that made record profits in recent years, leading them to decommission more than two-thirds of their rigs and sharply cut investment in exploration and production. Scores of companies have gone bankrupt and an estimated 250,000 oil workers have lost their jobs.

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IB ECONOMICS: Stimulating the world economy

World economy: Out of ammo

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There is a fear that a recession is coming and that central banks do not have the weapons to resist it. If governments and central bankers work together they will not be short of ammunition. The question is whether politicians have the stomach to use it.


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IB ECONOMICS: Supply and Demand -Oil Prices

For those studying IB ECONOMICS
Fluctuating oil and commodity prices are a common feature in paper 2 exam questions. This article helps reinforce how understanding fundamental concepts such as supply and demand can help demystify current economic issues.