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Ch 20 3.7 Supply-side policies: complete notes
Neat, exam-ready notebook-style notes for Ch 20 3.7 Supply-side policies, following the IB Diploma syllabus, SL and HL. This chapter is part of the complete Economics Notes for IB Diploma Students (SL and HL): All 30 Topics.
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Free preview: Ch 20 3.7 Supply-side policies notes
A quick look at the chapter from our IB Diploma Economics notes. The full chapter notes have the detailed explanations, diagrams and practice questions with answers.
Topics in this chapter
- What you must be able to do
- Goals and types of supply-side policy AO2
- Goals
- Two families of policy
- Showing the effect of supply-side policy AO2 AO4
- What changes LRAS?
- Market-based policies to encourage competition AO2
- Labour market and incentive-related policies AO2 AO4
- Interventionist supply-side policies AO2
- Demand-side effects of supply-side policies, and supply-side effects of fiscal policies AO2
- Effectiveness: constraints and strengths AO3
- Strengths and limitations by objective AO3
- Linking to key concepts
“I can” checklist: what you must be able to do
- I can explain the goals of supply-side policies.
- I can explain market-based policies: deregulation, privatisation, trade liberalisation, anti-monopoly regulation, labour market and incentive policies.
- I can explain interventionist policies: education and training, health care, R&D, infrastructure and industrial policy.
- I can draw AD/AS and LRAS diagrams to show the effect of supply-side policies, in the monetarist and Keynesian views.
- I can draw and use the minimum wage diagram, and say what abolishing it does.
- I can explain the demand-side effects of supply-side policies and the supply-side effects of fiscal policies.
- I can evaluate constraints and strengths of market-based and interventionist policies.
- I can evaluate supply-side policies for growth, low unemployment and low, stable inflation.
What is inside the full chapter notes
- Concept notes with 6 worked examples (every number computed)
- AD/AS diagrams: monetarist LRAS shift, Keynesian AS shift, combined demand-side effect
- Minimum wage diagram with unemployment and what abolishing it does
- Common mistakes and a "How to score" command-term box
- 12 Quick-check questions A-D, explained
- Paper 1 style (a) 10 + (b) 15 with mark scheme and markbands
- Paper 2 style data response (36 marks) with mark scheme
- No Paper 3 set: this topic has no HL-only content
- Quick reference and "I can" checklist
What you get in the pack
- All 30 topics of IB Diploma Economics for students taking Standard Level or Higher Level (first assessment 2022): what economics is, demand, supply, market equilibrium, behavioural economics, elasticity, government intervention, externalities, public goods, asymmetric information, market power, equity, measuring economic activity, aggregate demand and supply, macroeconomic objectives, inequality and poverty, monetary policy, fiscal policy, supply-side policies, international trade, trade protection, economic integration, exchange rates, balance of payments, sustainable development, measuring development, growth and development strategies
- Every syllabus statement covered in order, each marked SL or HL, with clear notes, tables and diagrams drawn for these notes
- Every diagram the guide names, drawn and labelled, plus worked examples and model answers that show how to earn the marks
- Quick-check multiple-choice questions with explained answers, plus original Paper 1 (extended response), Paper 2 (data response) and, for HL, Paper 3 (policy) style questions with full mark schemes (no past-paper reprints)
- Common mistakes and a how-to-score command-term guide for every topic
- Quick-reference sheet and an "I can" checklist at the end of every topic
- Colour PDF and a black and white copy of every chapter for printing
- Independent notes for IB Diploma students; not endorsed by or affiliated with the International Baccalaureate Organization (IBO)
All chapters in this pack
- Ch 1 1.1-1.2 What is economics? and How do economists approach the world?
- Ch 2 2.1 Demand
- Ch 3 2.2 Supply
- Ch 4 2.3 Competitive market equilibrium
- Ch 5 2.4 Critique of the maximizing behaviour of consumers and producers
- Ch 6 2.5 Elasticity of demand
- Ch 7 2.6 Elasticity of supply
- Ch 8 2.7 Role of government in microeconomics
- Ch 9 2.8 Market failure: externalities and common pool resources
- Ch 10 2.9 Market failure: public goods
- Ch 11 2.10 Market failure: asymmetric information (HL)
- Ch 12 2.11 Market failure: market power (HL)
- Ch 13 2.12 The market's inability to achieve equity (HL)
- Ch 14 3.1 Measuring economic activity and illustrating its variations
- Ch 15 3.2 Aggregate demand and aggregate supply
- Ch 16 3.3 Macroeconomic objectives
- Ch 17 3.4 Economics of inequality and poverty
- Ch 18 3.5 Demand management: monetary policy
- Ch 19 3.6 Demand management: fiscal policy
- Ch 20 3.7 Supply-side policies
- Ch 21 4.1 Benefits of international trade
- Ch 22 4.2 Types of trade protection
- Ch 23 4.3 Arguments for and against trade control and protection
- Ch 24 4.4 Economic integration
- Ch 25 4.5 Exchange rates
- Ch 26 4.6 Balance of payments
- Ch 27 4.7 Sustainable development
- Ch 28 4.8 Measuring development
- Ch 29 4.9 Barriers to economic growth and/or economic development
- Ch 30 4.10 Economic growth and/or economic development strategies