VIS, Grade 12 Economics SL /HL, March 2011

SECTION 1-5: IB ECONOMICS Exam definitions (May 2005 November 2010)

Define the following terms indicated in bold in the text: Specimen Paper SL (i) opportunity cost (vi) current account deficit (ii) negative externalities (vii) tariffs (iii) inflation (viii) import-substitution (iv) depreciation (ix) budget deficits (v) unemployment rate (x) commodities Specimen Paper HL (i) minimum price scheme (ii) non-price competition (iii) opportunity cost (iv) negative externalities (v) current account surplus May 2005 HL (i) economic development (ii) indebtedness (iii) current account deficit (iv) subsidy (v) economic growth May 2005 SL (i) demand (ii) oligopoly (iii) real GDP (iv) unemployment rate (v) economic growth November 2005 SL (i) economic development (ii) Gross Domestic Product (iii) maximum price (iv) cross elasticity of demand (v) unemployment rate November 2005 HL (i) maximum price (ii) cross elasticity of demand (iii) current account (iv) GDP per capita (v) Investment (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) fiscal policy devaluation inflation multilateral aid comparative advantage regressive taxes GDP aggregate demand collusive oligopoly minimum prices currency appreciation floating the exchange rate official aid infrastructure poverty cycle current account monopolistic competition recession exchange rate depreciation Inflation Recession economies of scale dumping comparative advantage 1

May 2006 SL (i) market economy (ii) supply-side policies (iii) opportunity costs (iv) Gross Domestic Product (v) negative externalities May 2006 HL (i) price discrimination (ii) multinational corporations (iii) unemployment rate (iv) business/trade cycle (v) interest rates November 2006 SL (i) negative externalities (ii) demand (iii) monetary policy (iv) consumption (v) economic growth November 2006 HL (i) negative externalities (ii) tradeable permits (iii) GDP (iv) current account deficit (v) managed exchange rates May 2007 HL (i) real output (ii) trade cycle (iii) negative externalities (iv) resource allocation (v) real wages May 2007 SL (i) centrally planned economy (ii) foreign direct investment (iii) price discrimination (iv) income elasticity of demand Nov 2007 HL

(vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x)

indirect taxation economic growth current account balance World Trade Organization dumping exchange rate appreciation productively efficient anti-dumping free good sustainable development current account surplus dumping deteriorating terms of trade foreign direct investment investment appreciation dumping deteriorating terms of trade foreign direct investment investment

(vi) (vii) (viii) (ix) (x) (v) (vi) (vii) (viii) (ix) (x)

recession free trade developing countries indebtedness current account Gini Coefficient progressive tax free trade area subsidies informal markets property rights

(i) economic growth (ii) sustainable development (iii) demand (iv) opportunity cost (v) quotas Nov 2007 SL (i) economic growth (ii) sustainable development (iii) demand (iv) opportunity cost (v) monetary policy May 2008 HL (i) equilibrium price (ii) allocative efficiency (iii) structural unemployment (iv) average costs (v) nominal May 2008 SL (i) merit goods (ii) negative externalities (iii) inflation (iv) foreign currency reserves (v) inward-oriented policies Nov 2008 HL (i) abnormal profits (ii) product differentiation (iii) current account deficit (iv) multiplier (v) subsidies (vi) income elasticity of demand Nov 2008 SL (i) indirect taxes (ii) price elasticity of demand (iii) quotas (iv) inflation (v) current account deficit May 2009 HL

(vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x)

normal profit inflation supply-side policies. recession consumption depreciation fiscal policy unemployment rate. Wages anti-dumping inflationary gap indirect taxation crowding out tied aid infrastructure

(vi) (vii) (viii) (ix) (x)

infrastructure currency appreciation monetary policy The World Bank multinational company

(vii)

removed for copyright reasons (viii) removed for copyright reasons (ix) infrastructure (x) investment

(vi) interest rates (vii) subsidies (viii) income elasticity of demand (ix) infrastructure (x) investment

(i) (ii) (iii) (iv) (v)

infrastructure cross-elasticity of demand market normal profit structural unemployment

(vi) (vii) (viii) (ix) (x)

oligopoly import substitution real GDP human resources investment

May 2009 SL (i) supply (ii) unemployment (iii) structural unemployment (iv) oligopoly (v) factors of production November 2009 HL (i) economies of scale (ii) investment (iii) consumption (iv) unemployment rate (v) monetary policy November 2009 SL (i) market (ii) fiscal policy (iii) inflation (iv) interest rates (v) consumption May 2010 HL (i) collusive oligopoly (ii) abnormal profits (iii) indirect taxes (iv) resources (v) exchange rate May 2010 SL (i) opportunity cost (ii) investment (iii) foreign direct investment (iv) inflation (v) unemployment rate November 2010 HL (i) demand (ii) cartel (iii) market (iv) total revenue (v) depreciation November 2010 HL (i) indirect tax (ii) investment (iii) economic growth

(vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (vi) (vii) (viii) (ix) (x) (iv) (v) (vi)

aggregate demand tariff foreign direct investment economic growth quotas current account surplus foreign direct investment WTO infrastructure minimum price unemployment rate gross domestic product NGOs real price supply foreign direct investment sustainable development free trade world bank free market Gross Domestic Product economic growth interest rates sustainable development free trade consumption dumping tariff infrastructure bilateral aid sustainable development entrepreneurship monetary policy

(vii) (viii) (ix) (x)

quotas current account surplus infrastructure bilateral aid