YED=%ΔQd%ΔYYED equals the fraction with numerator % cap delta cap Q sub d and denominator % cap delta cap Y end-fraction Sign Significance: Positive ( ) means normal goods; Negative ( −negative ) means inferior goods.
: Price elasticity factor (determines the steepness/slope of the curve) Linear Supply Function Qs=c+dPcap Q sub s equals c plus d cap P Variables: Qscap Q sub s : Quantity supplied
Build a side-by-side comparison table for the four market structures (Perfect Competition, Monopoly, Oligopoly, Monopolistic Competition) covering: number of firms, barriers to entry, shape of demand curve, profit maximization rule, and long-run profit possibilities. The Cambridge coursebook offers detailed guidance on rational producer behavior for HL candidates.
Value of Currency A in B=Amount of Currency A×Exchange Rate (A to B)Value of Currency A in B equals Amount of Currency A cross Exchange Rate (A to B) ib economics hl formula booklet repack
Embrace the repacking method. Make it your own. With dedication and smart practice, you’ll walk into your IB Economics HL exams with the confidence and knowledge to succeed.
Below is a "repack" of the essential formulas and quantitative concepts categorized by the IB syllabus units. 1. Microeconomics IB Economics HL Formula Booklet | PDF - Scribd
Growth Rate=Real GDPYear 2−Real GDPYear 1Real GDPYear 1×100Growth Rate equals the fraction with numerator Real GDP sub Year 2 end-sub minus Real GDP sub Year 1 end-sub and denominator Real GDP sub Year 1 end-sub end-fraction cross 100 Inflation and Unemployment Metrics YED=%ΔQd%ΔYYED equals the fraction with numerator % cap
IB questions often present a matrix of two countries and two commodities to test specialization.
Quantitative methods in the introductory module focus on how societies measure choice, opportunity cost, and the allocation of scarce resources. Opportunity Cost & Production Possibilities Curve (PPC)
An increase is an improvement ; a decrease is a deterioration . Balance of Payments Structure Value of Currency A in B=Amount of Currency
[ \textRER = \frace \times P_\textforeignP_\texthome ] Where ( e ) = nominal exchange rate. A rise in RER means a real appreciation—exports become less competitive.
Subsidy Cost=Subsidy per Unit×New Quantity Traded (Qsub)Subsidy Cost equals Subsidy per Unit cross New Quantity Traded open paren cap Q sub s u b end-sub close paren 3. Theory of the Firm (HL Only)
ΔTCΔQthe fraction with numerator cap delta TC and denominator cap delta cap Q end-fraction Revenue Theory Formulas Average Revenue (AR): (AR always equals price) Marginal Revenue (MR):