43-5: Falling dollar, rising pound
Objective: to show understanding of the impact of changes in the exchange rate value on
exporters, importers and the balance of payment on the current account of a country.
1. Research the exchange rate of the against th
Year One Review Quiz
Time: 90 minutes
Marks available: 50 marks
Name: Weiyun Li
(Answer one question only from this section)
1. (a) While the price elasticity of supply for primary commodities is often relatively low,
that of manu
41-7: Protectionism Test
Objective: to demonstrate understanding of motivations for trade protection and the means of
conducting protectionist policies.
Time: 90 minutes
Marks available: 40 marks
1. Identify two prevalent reasons why countries might choos
44-7: Exchange rates test
Objective: to demonstrate clear understanding of exchange rates regimes and impact of
changes in the exchange rate value on economic activity.
Time allowed: 75 minutes
Marks available: 36 marks
Study the extract belo
36-7: Worksheet on Taxation, equity and equality of income distribution.
Review the worked out example in your IB Course Companion, p. 254 and 256, Chapter 20
before you attempt to complete the exercise below.
Explain the meaning of the terms a
38-6 Macroeconomic policies test
Objective: to demonstrate understanding of the effectiveness and limitations of the different macro
economic policies that the government may use to influence economic activity and achieve the
macro economic objectives.
42-4 Virtual Trade Tour on exchange rates worksheet
Objective: to demonstrate understanding of factors that influence the value of a countrys
currency. To show skills of drawing appropriate diagram.
1. Explain the factors that may lead to an increase in t
37-5: Worksheet on Macro policies- fiscal and monetary
Objective: to demonstrate understanding of fiscal and monetary policy tools and different
perspectives related to their effectiveness
1. If there is a high marginal propensity to import and save then
42-6: Calculating exchange rates
Objective: to use linear demand and linear supply function to calculate the equilibrium exchange
rate and quantity of a currency.
The procedure is identical to the one described in microeconomics when determining the
Currency Trading Game
In this activity you will try your fortune on the Forex market and will play the role of a broker on
the Forex market.
Your task: to increase the amount of money (US dollars) through transactions on the Forex
market. If you manage to