Paul Hoang - Cambridge IGCSE® and O Level: Economics

The authors would like to dedicate this book to their children: Salvador, Gino and Isidora Boon
Jake and Luke Hoang

The authors would like to thank their spouses, Derek Boon and Kin Hoang, for their patience, understanding and support.

The Publisher thanks David Horner and Steve Stoddard for writing the interactive digital quizzes in the Student eTextbook version of this book

The Student eTextbook version of this book contains interactive quizzes. Note that these quizzes are not exam-style questions.

The questions, example answers, marks awarded and/or comments that appear in this book were written by the authors. In examination, the way marks would be awarded to answers like these may be different.

Every effort has been made to trace all copyright holders, but if any have been inadvertently overlooked, the Publishers will be pleased to make the necessary arrangements at the first opportunity.

Although every effort has been made to ensure that website addresses are correct at time of going to press, Hodder Education cannot be held responsible for the content of any website mentioned in this book. It is sometimes possible to find a relocated web page by typing the address of the home page for a website in the URL window of your browser.

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ISBN: 978 1 5104 2127 1
eISBN: 978 1 5104 2020 5

IGCSE is a registered trademark

Paul Hoang and Margaret Ducie 2018

First published in 2013 by Hodder Education,
An Hachette UK Company
Carmelite House
50 Victoria Embankment
London EC4Y 0DZ

This second edition published 2018

All rights reserved. Apart from any use permitted under UK copyright law, no part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying and recording, or held within any information storage and retrieval system, without permission in writing from the publisher or under licence from the Copyright Licensing Agency Limited. Further details of such licences (for reprographic reproduction) may be obtained from the Copyright Licensing Agency Limited, www.cla.co.uk

Cover photo Shutterstock/Jianghaistudio

Typeset in India

Printed in Slovenia

A catalogue record for this title is available from the British Library.

This book has been written for all students of Cambridge IGCSE and O Level Economics. It carefully and precisely follows the syllabus from Cambridge Assessment International Education. It provides the detail and guidance that are needed to support you throughout the course and help you prepare for your examinations. It will also be of great use to anyone who wants to learn more about the key concepts of economics.

This book will be valuable to students of economics whether you are:

Building on the successful formula of the previous edition, this second edition updates all existing chapters. Material that is no longer covered by the syllabus has been removed and new subject material has been added, with additional chapters and new features.

This book has been written with the international student in mind. It explains economic theory using real-life examples and case studies from around the world.

To make your study of economics as rewarding and successful as possible, this Cambridge-endorsed textbook offers the following important features:

Each chapter starts with an outline of the subject material to be covered and ends with a checklist to confirm what you should have learned and understood.

The content is in the same order as the syllabus: chapter titles and chapter section headings match those of the Cambridge IGCSE and O Level Economics syllabuses.

The subject material is written in an informative yet lively way that allows complete understanding of each topic to be gained.

Answers to the exam-style and chapter review questions are available in
the accompanying online Teacher Guide.

You should be able to perform to the best of your ability if you:

You can also help yourself greatly if you take the following steps.

Obtain a copy of the syllabus. You should also be able to obtain past examination papers and mark schemes. It is important that you check the progress of your learning and revision by ticking off each topic against the syllabus content.

Make sure that you know the number and length of each of the papers you will have to sit. The style and nature of the questions often differ between papers, so you must be clear about the types of question that are likely to appear on each paper.

For Cambridge IGCSE and O Level Economics the examination papers are:

Make sure you check the instructions on the question paper, the length of the paper and the number of questions you have to answer.

Allocate your time sensibly between each question. Every year, good students let themselves down by spending too long on some questions and too little time (or no time at all) on others. You will be expected to spend longer writing an answer to a question worth 12 marks than you would when writing an answer worth 8 marks.

Remember that the most common command words are identify, explain, consider and justify. The following guide should help you.