I’m a bit lost with the economics bit…I find it quite difficult and would really like to focus on getting a a few of the easier questions right. I’ve been looking through the practice exams at the questions and can see some questions that come up which cover the same material each time.
If you had to remember 3 keys things from Economics that would help you answer 3 seperate questions. What would those 3 things be?
I’ll start us off.
Depreciation / Appreciation of currency and exchange rates.
Comparative or absolute advantage in trade.
The difference between, monopolistic, oligopoly, monopoly and perfect competition.
An understanding of monetary and fiscal policy is both easy and highly testable in my opinion. It even gives you some nice intuition on what is driving government decisions so you get a good ROI for learning this stuff.
I agree with the rest I guess so I would just substitute No. 2 with my option if I had to.
scarcity, opportunity cost, comparative advantage
Calculation of cross rate
Cross rate of MXN/NZD is to find with third currency USD.
Mexican buys USD and will fly to USA where he will buy NZD from all dollars he would have and will finally fly to Newzealand.
MXN / NZD = MXN/USD X USD/NZD
(Direct Quote) = (Direct Quote) X (Direct Quote)
If there is any Indirect quote then just take the reciprocal (1 / Indirect quote)
Market Structure particularly as it pertains to Marginal Cost, Variable Cost, Consumer Surplus, Producer Surplus etc.
The big formula that equates Imports, Exports, Purchases, Taxes etc. etc.
Aggregate Demand and Supply and what happens if A goes up does B go down?
Basically all the cue cards tagged Important or Vital in the the Economics Category here:
also understand the difference between shifts of curves versus movements along the curve.