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A Level · Economics · Chapter 1
Ch 1 Scarcity, Choice, Methodology and Factors of Production: complete notes
Neat, exam-ready notebook-style notes for Ch 1 Scarcity, Choice, Methodology and Factors of Production, following the Cambridge A Level 9708 syllabus, AS and A Level. This chapter is part of the complete A Level Economics 9708 Complete Notes: All 25 Chapters, AS and A Level (Cambridge 2026–2028).
Free preview: Ch 1 Scarcity, Choice, Methodology and Factors of Production notes
A quick look at the chapter from our A Level Economics notes. The full chapter notes have the detailed explanations, diagrams and practice questions with answers.
Topics in this chapter
- 1.1.1 The fundamental economic problem
- 1.1.2 Choices at all levels
- 1.1.3 Opportunity cost
- 1.1.4 The basic questions of resource allocation
- 1.2.1 Economics as a social science
- 1.2.2 Positive and normative statements
- 1.2.3 Ceteris paribus
- 1.2.4 The importance of the time period
- 1.3.1 The four factors of production
- 1.3.2 Human capital and physical capital
- 1.3.3 Rewards to the factors of production
- 1.3.4 Division of labour and specialisation
- Why division of labour raises productivity
- 1.3.5 The role of the entrepreneur in contemporary economies
“I can” checklist: what you must be able to do
- explain scarcity and choices at all levels
- define and calculate opportunity cost
- state the three basic questions
- explain economics as a social science
- classify positive / normative statements
- explain ceteris paribus and time periods
- define the factors, rewards, types of capital
- assess division of labour and the entrepreneur
What is inside the full chapter notes
- Concept notes, diagrams and 8 worked examples (calculations and model answers)
- Exam skills for Paper 2; common mistakes from the examiner report
- 20 Paper 1 style multiple-choice questions, explained
- One Section A data-response question and one Section B essay (Paper 2 style), with full mark schemes
- Quick-reference table, "I can" checklist
What you get in the pack
- All 25 chapters of the Cambridge International AS & A Level Economics 9708 syllabus (exams 2026–2028): scarcity and choice, demand and supply, elasticities, government intervention, national income, AD/AS, growth, unemployment and inflation, fiscal, monetary and supply-side policy, trade and the balance of payments, exchange rates, utility and indifference curves, market failure, costs and market structures, labour markets, the multiplier, money and banking, macro policy, development and globalisation
- Every syllabus statement covered in order, each marked AS or A Level, with clear notes, tables and diagrams drawn for these notes
- 8 worked examples in every chapter: calculations and model answers that show how to earn the marks
- Exam skills for every paper (command words, diagrams, how AO1–AO3 marks are earned) and common mistakes taken from Cambridge examiner reports
- 20 multiple-choice questions per chapter with answers and explanations
- Original exam-style data-response questions and essays in the style of Papers 2 and 4, with full levels-based mark schemes (no past-paper reprints)
- Quick-reference sheet and an "I can" checklist at the end of every chapter
- Colour PDF and a black and white copy of every chapter for printing
- Independent notes; not endorsed by or affiliated with Cambridge University Press & Assessment
All chapters in this pack
- Ch 1 Scarcity, Choice, Methodology and Factors of Production
- Ch 2 Economic Systems, Production Possibility Curves and Classification of Goods
- Ch 3 Demand and Supply Curves
- Ch 4 Price, Income and Cross Elasticity of Demand and Price Elasticity of Supply
- Ch 5 Market Equilibrium and Consumer and Producer Surplus
- Ch 6 Government Microeconomic Intervention
- Ch 7 National Income Statistics and the Circular Flow of Income
- Ch 8 Aggregate Demand and Aggregate Supply
- Ch 9 Economic Growth, Unemployment and Price Stability
- Ch 10 Macroeconomic Objectives and Fiscal Policy
- Ch 11 Monetary Policy and Supply-side Policy
- Ch 12 International Trade and Protectionism
- Ch 13 Balance of Payments, Exchange Rates and Current Account Policies
- Ch 14 Utility, Indifference Curves and Budget Lines
- Ch 15 Efficiency, Market Failure and Externalities
- Ch 16 Costs, Revenue, Profit and Production
- Ch 17 Market Structures
- Ch 18 Growth, Survival and Objectives of Firms
- Ch 19 Government Policies for Efficiency, Equity and Redistribution
- Ch 20 Labour Markets and Government Intervention
- Ch 21 The Circular Flow, the Multiplier and Economic Growth and Sustainability
- Ch 22 Employment, Unemployment, Money and Banking
- Ch 23 Macroeconomic Policy: Objectives, Links and Effectiveness
- Ch 24 Balance of Payments Policies and Exchange Rates
- Ch 25 Economic Development and Globalisation