Economics

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A comprehensive guide to Economics IA criteria along with a checklist. Keep reading to improve your grade!

Economics IA Criteria and Checklist

Struggling to understand IB Economics Paper 1? You've come to the right place. In this post we will break-down the paper's structure, duration, weighting, and the questions you may encounter.&nbsp;&nbsp;&nbsp;<h2 style="text-align:center;">IB Economics Paper 1</h2>&nbsp;&nbsp;<ul><li>At SL Paper 1 accounts for 30% of the student's final subject grade while for HL it accounts for 20% of the student's final grade.&nbsp;</li><li>Both SL and HL students have 1 hour 15 minutes to complete Paper 1.</li><li>Paper 1 is an extended response paper based on all units of the syllabus.</li><li>Both SL and HL students answer one out of three questions.</li><li>Each question is made up of two parts. Part (a) requires students to explain a concept. Part (b) is a follow-up question which requires students to evaluate or discuss the given concept using real-world examples.</li></ul>&nbsp;&nbsp;A typical SL question may look the following way:&nbsp;1. (a) Using the concept of ‘merit good’, explain why education and health care services are underprovided by the market. [10]&nbsp;(b) Using real-world examples, discuss policy options available to governments to &nbsp;correct the problem of underprovision of education and health care services. [15]&nbsp;&nbsp;&nbsp;A typical HL question may look the following way:&nbsp;2. (a) Using a Phillips curve diagram, explain how stagflation impacts on &nbsp;unemployment and inflation. [10]&nbsp;(b) Using real-world examples, compare and contrast the policy implications of &nbsp;the short-run and long-run Phillips curves. [15]&nbsp;&nbsp;&nbsp;<h3>How to succeed in Economics Paper 1?</h3>&nbsp;Effective time management is essential for success in Paper 1. We recommend allocating approximately 20 minutes for part (a) and the remaining 55 minutes for part (b). This division reflects the fact that part (b) typically requires more in-depth analysis, evaluation, and references to case studies. Part (b) is where you must engage in deeper critical thinking and provide well-developed arguments. Also, remember to take a few minutes to plan your response before you start writing as this will ensure that your essay is well-structured, logical, and easy to follow. &nbsp;&nbsp;To start strongly, it is important to begin your answer by defining all key terms in the question. Also remember to support your claims with relevant case studies and examples. This is especially important for part (b) which should be saturated with case study references. While real-world examples are primarily required for part (b), including one in part (a), if relevant, can also enhance your answer.&nbsp;&nbsp;Diagrams are also highly encouraged. Aim to include at least one diagram per question, but it is encouraged to include more, especially for question (b). Ensure that all your diagrams are drawn clearly, proportionally, and properly labeled. It is important to directly refer to your diagrams in your explanation to show how they support your points, rather than allowing them to stand alone without context. Diagrams should be fully integrated into your answer to illustrate key concepts and reinforce your arguments.&nbsp;&nbsp;&nbsp;We hope you found this post helpful. For more useful materials associated with the IB check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify</a>.&nbsp;

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A comprehensive guide to IB Economics Paper 1. Learn about Paper 1 structure, duration, weighing, the questions you may encounter, and how to tackle them. 

IB Economics Paper 1

Do you have one of the three Economics IAs coming up and you need some inspiration on how to get started? Look no further, as Clastify is here to help support you through the writing process! In this guide, we will give you some key points to keep in mind when writing your Economics IA, based on our experience with IB. The guide below is just an example of how a good IA should be structured, however, keep in mind that many high-scoring IAs may also use other structures. For examples of some well-structured IAs, head to the <a href="/ia/economics" target="_blank" rel="noopener noreferrer">Clastify</a> website where you can read through multiple exemplar IAs!&nbsp;&nbsp;<h2 style="text-align:center;">Economics IA Format and Structure</h2>&nbsp;&nbsp;The guide will be broken up by section to help you better understand what is required in each part of the IA and will have examples linked (in blue), as follows:&nbsp;&nbsp;&nbsp;<h3 style="text-align:justify;">Cover page:</h3><ol><li>Include the title of the article used (as well as the link if it is an online source).</li><li>Include the data that the article was published.</li><li>Include the data that the commentary was written.</li><li>Add the word count of the commentary, which should not exceed 800 words.</li><li>Mention the unit of the syllabus to which the article relates (microeconomics, macroeconomics, global economy).</li><li><a href="/ia/economics/64ad7eaae3b31a00131a04a2" target="_blank" rel="noopener noreferrer">Example:</a> This IA is a good example of how to structure the cover page.</li></ol>&nbsp;&nbsp;<h3 style="text-align:justify;">Article:</h3><ol><li>Include the full text from the article used.&nbsp;</li><li>The chosen article should preferably be around 1 page long.&nbsp;</li><li>If the article is longer than 1 page, you must highlight the relevant sections of the article that you want the examiner to read.</li><li><a href="/ia/economics/64abe7c7f66fe2001384a2ae" target="_blank" rel="noopener noreferrer">Example:</a> The article chosen in this commentary is slightly longer than 1 page so the student has highlighted the relevant sections that they wish to be read.</li></ol>&nbsp;<pre><code class="language-plaintext">CAROUSEL</code></pre>&nbsp;<h3 style="text-align:justify;">Main commentary:</h3><ol><li>Start with a statement of the contents of the article. What is the main economic topic that the article is focused on (eg: price ceilings in microeconomics, tariffs in macroeconomics, etc)?</li><li>Include information from the article that highlights the main economic topic (eg: what price level did the government set the price ceiling to, or what was the percentage change in the interest rates?).</li><li>Mention information from the article that includes why the company/government took these steps to make changes. Were the prices too high/demand too low, was inflation too high, was the currency being devalued, etc.?</li><li>Include a graph showing the state of the economy before the change was made (eg: what were supply and demand like before an increase in interest rates, quantity of imports and exports before and after changes in tariffs, etc.).</li><li>Include a detailed description of this graph. Make sure the graph has a title and the axes are correctly labelled. Draw arrows on the graph to show any changes in price and output. The graph should be produced electronically instead of being hand-drawn. Make sure the graph has a figure caption.</li><li>Next, describe how the change imposed by the form or government could affect market equilibrium. (eg: Is aggregate demand changed? What factors of aggregate demand are affected and how?)</li><li>Include a second graph showing the effects of the imposed policy on market equilibrium - how does the economy change from the conditions in the first graph? Draw arrows on the graph to show any changes in price and output. The graph should be produced electronically instead of being hand-drawn. Make sure the graph has a figure caption.</li><li>Finally, critically evaluate the imposed policy. Analyze its advantages and disadvantages, and consider how it affects different stakeholders in an economy (eg: expansionary fiscal policy improves the lives of common citizens by lowering taxes but reduces the funds available to the government).</li><li>Conclude the commentary in 3-4 sentences with a general overview of the key points discussed in the previous paragraphs.</li><li>Examples: <a href="/ia/economics/64abe7c7f66fe2001384a2ae" target="_blank" rel="noopener noreferrer">Example 1</a> and <a href="/ia/economics/64ad7eaae3b31a00131a04a2" target="_blank" rel="noopener noreferrer">Example 2</a> are good economics IAs that incorporate the above points into the commentaries.</li></ol>&nbsp;&nbsp;We hope this guide helps guide you in properly formatting and structuring your Economics IA! If you want to read some exemplary IAs before you start writing, we've got you covered too! Simply head to the <a href="/" target="_blank" rel="noopener noreferrer">Clastify</a> website, where you will be able to find numerous <a href="/ia/economics" target="_blank" rel="noopener noreferrer">Economics</a> IA ideas and examples, so you can look for the ones that are the most relevant to your topic. Good luck!&nbsp;

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A comprehensive guide on formatting and structuring an IB Economics Internal Assessment. Explore different approaches and use this as your roadmap throughout the IA writing process.

Economics IA Format and Structure

Paper 2 is the second examination you'll face in your IB Economics assessments. In this post, we’ll provide a thorough breakdown of IB Economics Paper 2, ensuring you are familiarised with the structure of the exam and know what type of questions to expect.&nbsp;&nbsp;&nbsp;<h2 style="text-align:center;">IB Economics Paper 2</h2>&nbsp;&nbsp;<ul><li>At SL Paper 2 accounts for 40% of the student's final subject grade while for HL it accounts for 30% of the student's final grade.&nbsp;</li><li>Both SL and HL students have 1 hour 45 minutes to complete Paper 2.</li><li>Students may score up to 40 marks.&nbsp;</li><li>Paper 2 is a data response paper based on all units of the syllabus.</li><li>Both SL and HL students answer one out of two questions.</li><li>Each of the two available questions will consist of around 8 shorter questions (1 – 4 marks) as well as one final 15-mark extended response question.&nbsp;</li></ul>&nbsp;&nbsp;A typical SL question may look the following way:&nbsp;(a) (i) Define the term common pool resources indicated in bold in the text. (Text D, paragraph 5). [2]&nbsp;(ii) Define the term Multidimensional Poverty Index (MPI) indicated in bold in the text (Text E, paragraph 1). [2]&nbsp;(b) (i) Using information from Table 3, calculate Senegal's real GDP (in US$) in 2020. [2]&nbsp;(ii) Using information from Table 5, calculate Senegal's current account balance (in US$) in 2018. [2]&nbsp;(iii) Using information from Table 5, identify whether Senegal's balance of trade in goods and services is a surplus or a deficit. [1]&nbsp;(c) Using a production possibilities curve (PPC) diagram, explain how the discovery of oil affected production possibilities in Senegal (Text D, paragraph 2). [4]&nbsp;(d) Using an exchange rate diagram, explain how the change in the balance of trade in goods between 2010 and 2020 may have changed the exchange rate of the West African CFA franc (Table 3). [4]&nbsp;(e) Using an international trade diagram, explain the likely effect on domestic producer surplus in Senegal of the tariff on rice imports (Text D, paragraph 4). [4]&nbsp;(f) Using an externalities diagram, explain why the use of water by rice farmers may result in market failure in the rice market in Senegal (Text D, paragraph 5).[4]&nbsp;&nbsp;(g) Using information from the texts/data and your knowledge of economics, evaluate policies that could be used to reduce inequality in Senegal. [15]&nbsp;&nbsp;<h3>How to succeed in Economics Paper 2?</h3>&nbsp;To do well in Paper 2, it’s important to have a solid understanding of all the topics. The 1–4 mark questions don’t require much evaluation, so if you know the syllabus well, you should do fine. We suggest spending no more than 50 minutes on these questions, so you have at least 55 minutes for the final essay. Throughout the paper, make sure to refer to the provided data and materials, using them to support your answers.&nbsp;The 15 marker generally requires more in-depth analysis, evaluation, and references to case studies. The last question is where you must engage in deeper critical thinking and provide well-developed arguments. To start strongly, it is important to begin your answer by defining all key terms in the question. Also, ensure your response is saturated with case studies and references to the provided material. You may also want to include diagrams in your response. Ensure that all your diagrams are drawn clearly, proportionally, and properly labeled. Lastly, it is crucial to remember to take a few minutes to plan your response before you start writing as this will ensure that your essay is well-structured, logical, and easy to follow. &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We hope you found this post helpful. For more useful materials associated with the IB check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify</a>.&nbsp;

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A comprehensive guide to IB Economics Paper 2. Learn about Paper 2 structure, duration, weighing, the questions you may encounter, and how to tackle them. 

IB Economics Paper 2

Is it finally time to start working on your Economics extended essay? Clastify is here to support you in the process! Below you'll find linked exemplars and tips for each section of your EE, that are based on our extensive experience with IB coursework. While we recommend this structure based on our successful history of helping students receive top ratings for their essays, feel free to customize the guide below according to your own preferences. &nbsp;<h2 style="text-align:center;">Economics EE format and structure</h2> The extended essay is a 4,000 words investigation that should consist of the following parts:&nbsp;<h3 style="text-align:justify;"> Title page and table of contents</h3><ol><li>On the title page, you will include the topic of your investigation, the research question, the subject, and the word count.&nbsp;</li><li>The next page should be the table of contents with all subsections of your essay along with the page numbering.&nbsp; &nbsp;</li></ol><h3 style="text-align:justify;">Introduction&nbsp;</h3><ol><li>Provide a comprehensive introduction to the topic you chose for your extended essay.</li><li>State the aim of the investigation.&nbsp;</li><li>Identify the problem and state how it relates to the theoretical concepts of Economics (for instance market structure, economic growth, unemployment, etc.)</li><li>Provide definitions of the different economic phenomena associated with the topic. You can also support your explanations with the use of diagrams.&nbsp;</li><li>Include in-text citations to establish the real-life context of the investigated economic situation. &nbsp;</li></ol>&nbsp;See<a href="/ee/economics/6304c734774a290013d61559" target="_blank" rel="noopener noreferrer"> this EE</a> to get a glimpse of the matter.&nbsp;<h3 style="margin-left:0px;"> Research question&nbsp;</h3><ol><li>State a focused research question, <a href="/ee/economics/64a98d95f66fe20013841c64" target="_blank" rel="noopener noreferrer">such as</a>: To what extent was the provision of COVID-19 vaccines by the Government of Malaysia through the National COVID-19 Immunisation Programme (NCIP) effective in recovering the GDP and reducing the unemployment rate in Malaysia?</li><li>Specify the economic concept that is subject to your study and provide details such as mentioning a specific economic policy, country and time period under investigation (remember about the five-year rule!)</li></ol> &nbsp;<pre><code class="language-plaintext">CAROUSEL </code></pre><h3 style="text-align:justify;"> Methodology&nbsp;</h3><ol><li>You can base your investigation on primary data, secondary data, or a mixture of both.&nbsp;</li><li>The primary research, usually in the form of interviews or surveys, must be designed properly to help answer the research question.&nbsp;</li><li>Select secondary sources meticulously, ensuring their reliability and relevance to the investigation's context.</li><li>Introduce calculations and conduct statistical tests, for instance, determine the price elasticity of demand and the strength of correlation within the collected data.&nbsp;</li><li>Prioritize the incorporation of methodologies that effectively support the analysis and interpretation of the data gathered as introducing irrelevant information can lead to a deduction of points.</li><li>Demonstrate a clear understanding of how the selected sources and methodologies will enhance the investigation's overall validity. Justify your choices.&nbsp;</li></ol> Check out <a href="/ee/economics/64b2f6d63770b400128510a1" target="_blank" rel="noopener noreferrer">this methodology.</a>&nbsp; &nbsp;<h3 style="text-align:justify;">Analysis</h3><ol><li>This is the crucial part of your essay in which you will determine the answer to the research question. Start by including tables of collected data.&nbsp;</li><li>Utilize different forms of graphical representation such as graphs, diagrams and pie charts. Remember to label and describe them appropriately - use labeling to explain the changes/movements of the curves etc. and highlight the impact on different stakeholders.&nbsp;</li><li>When processing data, include the formulas and sample calculations. Explain the meaning and relevance of the obtained results.&nbsp;</li><li>In the analysis look for trends within the data and interpret them relating to the economic theory or other observed factors. Also, you should look for any anomalies and try to explain the reasons for their occurrence.&nbsp;</li><li>Form mini-conclusions relating to the research question throughout the entire main body.&nbsp;</li><li>If applicable, evaluate different solutions to the investigated issue taking into account several factors such as the overall effectiveness, the influence on stakeholders but also the time and cost of implementation.&nbsp;</li><li>Again, if possible, include the in-text citations.&nbsp;</li></ol>&nbsp;<a href="/ee/economics/62d3cadeefe3ca0013f9a5c2" target="_blank" rel="noopener noreferrer">This analysis</a> is worth taking a look at.&nbsp;&nbsp;<h3 style="text-align:justify;">Conclusion and evaluation</h3><ol><li>Re-state the aim of the essay to refresh the reader's memory.&nbsp;</li><li>Provide a statement about the extent to which the research topic has been analyzed.</li><li>Briefly summarize the findings from each tool used in the analysis.&nbsp;</li><li>Clearly state the answer to the research question. Do not introduce any new data to this section.&nbsp;</li><li>Suggest the solutions for the economic situation studied.&nbsp;</li><li>Discuss the limitations of both data sources and tools used in the investigation.&nbsp;</li><li>Show awareness of possible factors that could have influenced the results such as personal bias, formulation of the questions in the survey, etc.&nbsp;</li><li>State the strengths and weaknesses of your extended essay and propose how to possibly improve and extend your study.&nbsp;</li></ol> You can use <a href="/ee/economics/62d173f18af69200139b4730" target="_blank" rel="noopener noreferrer">this exemplar</a> for reference.&nbsp;&nbsp;<h3 style="text-align:justify;">Bibliography and appendices&nbsp;</h3><ol><li>These parts are not included in the word count.&nbsp;</li><li>In the bibliography, you should make a detailed list of all sources used in your investigation in alphabetical order. Decide on one style of referencing.&nbsp;</li><li>The appendices will serve as a place for additional tables of data etc. however these can't be the crucial information for your EE.&nbsp;</li></ol> We are hoping that you found this guide useful! For more references head to the <a href="/" target="_blank" rel="noopener noreferrer">Clastify</a> website and check out the remaining <a href="/ee/economics">Economics exemplars.</a> For further guidance check out our post about the EE assessment criteria <a href="/blog/economics-ee-criteria-and-checklist" target="_blank" rel="noopener noreferrer">here.&nbsp;</a> &nbsp;

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A comprehensive guide on Economics extended essay format and structure. Check the tips for Economics EE and improve your extended essay

Economics EE Format and Structure 

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A comprehensive collection of real world examples (case studies) for IB Economics ''Macroeconomics'' (Unit 3).

IB Economics real world examples (Macroeconomics)

If you need more guidance regarding the structure of IB Economics Paper 3, this post is for you! Here, we will provide a thorough breakdown of IB Economics Paper 3, ensuring you are familiar with the exam format and know what type of questions to expect to help you tackle the exam confidently.&nbsp;&nbsp;&nbsp;<h2 style="text-align:center;">IB Economics Paper 3</h2>&nbsp;<ul><li>Paper 3 focuses on policy analysis, quantitative skills, and real-world applications.&nbsp;</li><li>It assesses the ability to apply economic theory, use numerical data, and perform calculations to support policy recommendations.</li><li>Paper 3 &nbsp;asks students to recommend, justify, or evaluate economic policies based on their calculations.</li><li>Paper 3 is only for HL students and is based on all syllabus units.&nbsp;</li><li>Paper 3 assesses conceptual understanding, critical thinking, and evaluative skills in analyzing economic policies and applying them in real-life scenarios.</li><li>A calculator is required for Paper 3.&nbsp;</li><li>Paper 3 contributes 30% to the overall subject grade for HL students.&nbsp;</li><li>The maximum score attainable is 60 marks.</li><li>Students have 1 hour and 45 minutes to complete Paper 3.&nbsp;</li></ul>&nbsp;<h3 style="text-align:justify;">Example Questions</h3>&nbsp;On 26 October 2022, the Egyptian pound was trading at EGP19.308 to US$1. On 10 March 2023, the Egyptian pound was trading at EGP30.850 to US$1. The nightly rate for a double room at Cairo’s Hilton Heliopolis hotel is 5965.00 Egyptian pounds.&nbsp;Calculate the change in the US dollar price paid between 26 October 2022 and 10 March 2023 by an American businessperson who regularly stays in this hotel when visiting Cairo for business. [4 marks]&nbsp;Using the data provided and your knowledge of economics, recommend a policy that could be introduced by the government of Country X in response to the expected fall in the world price of coffee. [10 marks]&nbsp;Calculate the Gini coefficient using the provided Lorenz curve data. [3 marks]&nbsp;Based on your answer, explain whether income inequality has increased or decreased. [3 marks]&nbsp;Using a diagram, explain how a progressive income tax could impact the Lorenz curve. [4 marks]&nbsp;Recommend two different policies (other than taxation) that the government could use to reduce income inequality. Justify your recommendations. [10 marks]&nbsp;&nbsp;<h3>How to Succeed in Economics Paper 3</h3>&nbsp;<ul><li>Solve past papers – This helps you get used to the type of questions that could be asked on the exam and helps you develop skills in learning which concepts to apply. You should try to solve past papers using a timer to simulate exam conditions and check your answers against a markscheme to identify areas for improvement.&nbsp;</li><li>Memorize relevant formulae –&nbsp; Paper 3 contains a significant number of calculations and no formula sheet is provided. Students are expected to memorize and recall the relevant equations needed. Students should memorize the main equations from each section of the syllabus. Create flashcards to help you study the equations. You could also take a blank piece of paper and write down each formula by hand to help you remember it.&nbsp;&nbsp;</li><li>Show your working – This is especially important for calculation questions. Make sure to show all your working, as you will be able to receive part marks in case your final answer is incorrect.&nbsp;&nbsp;</li><li>Review the HL content – Since Paper 3 is an HL-only paper, it will test the knowledge from HL areas in more depth, so make sure to thoroughly revise HL topics. However, ensure you also revise the other syllabus content as it can help strengthen your arguments in Paper 3.&nbsp;&nbsp;</li><li>Plan before writing – Organize your thoughts before beginning your essay to ensure your response stays focused and well-structured. Use the PEEL (Point, Evidence, Explanation, Link) structure when justifying a policy in your evaluation parts. Before you start writing, create a quick draft in bullet points of what you want to base your answer on. Do not simply rush to begin writing, as this could lead to your thoughts being disorganized, which could impact the examiner's perception of the quality of your response.&nbsp;</li></ul>&nbsp;&nbsp;We hope you found this post helpful. For more useful materials associated with the IB, check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify</a>.&nbsp;

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A comprehensive guide to IB Economics Paper 3. Learn about Paper 3 structure, duration, weighing, and the questions you may encounter. 

IB Economics Paper 3

Economics is a dynamic subject that allows you to explore the complexities of how scarce resources are allocated to satisfy unlimited wants. Whether you are looking at market failures or international trade policies, keep reading for our suggestions on how to write an extended essay that will meet the requirements in the rubric of the new IB assessment criteria for first assessment in 2027.&nbsp;&nbsp;<h2 style="text-align:center;">Economics EE Criteria and Checklist</h2>&nbsp;&nbsp;You can receive as many as 30 marks for your extended essay based on the following criteria:&nbsp;<div style="text-align:justify;">&nbsp;</div><h3 style="text-align:justify;">Criterion A: Framework for the essay – 6 points</h3><div style="text-align:justify;">&nbsp;</div>This criterion evaluates whether your research question, chosen research methods, and structural conventions provide an effective foundation for your economic inquiry. In Economics, your framework must be clearly stated and focused, ensuring the topic is manageable within the 4,000-word limit. You need to explain the suitability of your specific research methods, such as data collection and field surveys, and how they connect to the overall methodology of the subject. Effective structure in Economics often includes the use of diagrams and tables to illustrate market trends, all of which must be clearly labelled and referenced within your text.&nbsp;For a maximum of 6 points:&nbsp;<ul><li data-list-item-id="e03f33753c3c8d181645dc21eaf20540d">Frame your research question to focus on a specific, contemporary economic issue or local market rather than a broad, general theory.&nbsp;</li><li data-list-item-id="e30dcfc1ada531f432765415288016b3d">Explicitly define your research methods, such as utilizing existing data banks or conducting primary interviews, and explain why they are the best fit for your inquiry.&nbsp;</li><li data-list-item-id="e52939dc8cab4cc94c5daea480da0795a">Include a "Methodology" section that details exactly how you gathered your data so that the transparency of your economic research is maintained.&nbsp;</li><li data-list-item-id="ee89be3703acf3f691277c18abc42a1ab">Ensure every economic diagram you include features essential elements: a clear title, appropriate axis labels, and a comprehensive legend or key.&nbsp;</li><li data-list-item-id="e61b0f65c1855258266ad886640f1b7a4">Organize your essay with informative subheadings that follow a logical economic argument, such as "Research Methods," "Data Analysis," and "Evaluation".</li></ul>&nbsp;A good example can be seen <a href="/ee/economics/69affa52bb51ed15f0dffe1c">here</a>.&nbsp;&nbsp;<h3 style="text-align:justify;">Criterion B: Knowledge and understanding – 6 points</h3><div style="text-align:justify;">&nbsp;</div>To score well here, you must demonstrate a deep grasp of the economic subject matter and the academic context of your research. This involves the accurate and consistent application of subject-specific terminology to show you understand the underlying concepts. You are expected to use relevant research materials, which for Economics includes a mix of secondary sources like academic journals and primary data like local price indices. Your understanding is also shown through how effectively you use key economic concepts to frame your investigation.&nbsp;&nbsp;For a maximum of 6 points:&nbsp;<ul><li data-list-item-id="ef9f315f3050c5b6f70bd06f5d7fbbf58">Consistently use technical economic terms, such as "asymmetric information," "opportunity cost," or "elasticity," to demonstrate professional subject knowledge.&nbsp;</li><li data-list-item-id="ea9fcc96500e370575668e78e92e1d8fe">Explain the theoretical models or economic laws (like the neoclassical model or Keynesian theory) that underpin your specific investigation.&nbsp;</li><li data-list-item-id="ec2bf59ceda9dc320a04f2a5c7a88f646">Incorporate secondary sources like government reports, central bank data, or news articles to provide a broader context for your findings.&nbsp;</li><li data-list-item-id="e98fb76af227fc5d51ef8cc71d8cc086f">Use and correctly define key economic concepts such as "scarcity," "intervention," or "efficiency" as the core ideas around which your research is built.&nbsp;</li><li data-list-item-id="e3c25fe8bbe9d0b3c3d9efec1bb80f4dd">Synthesize information from different sources into your own words, avoiding over-quoting to ensure your own understanding of the topic is evident.</li></ul>&nbsp;A good example can be read <a href="/ee/economics/69aff911bb51ed15f0dede27">here</a>.&nbsp;&nbsp;<h3 style="text-align:justify;">Criterion C: Analysis and line of argument – 6 points</h3><div style="text-align:justify;">&nbsp;</div>This criterion focuses on your ability to break down economic data into essential elements to reach relevant findings. You must maintain a clear, reasoned thread that logically connects your research question to your data analysis and final conclusions. In Economics, this involves processing your evidence through appropriate techniques, which might include comparative analysis or identifying trends in numerical data. Every point of analysis must be backed by evidence from your research and lead the reader toward a convincing answer to your research question.&nbsp;For a maximum of 6 points:&nbsp;<ul><li data-list-item-id="e90feeefcb0aa6ff8a6e5dee6cc8fd318">Process your evidence using appropriate economic analysis techniques, such as identifying patterns in financial datasets or comparing regional price fluctuations.&nbsp;</li><li data-list-item-id="ec3cd949ac5c2f036a05e7da0367a502e">Maintain a clear line of argument by using transitional sentences that explain how each section of analysis helps answer your original research question.&nbsp;</li><li data-list-item-id="e0c2fdf78d028741bfb1596e933d1786d">Apply critical analysis to determine the significance of economic trends or the impact of a specific policy rather than just describing results.&nbsp;</li><li data-list-item-id="e343378e989e8a8b5b3b2274031812c07">Focus your analysis strictly on addressing the research question, setting aside peripheral information that does not support your central argument.&nbsp;</li><li data-list-item-id="e15c349aa8d668ee669e57c29debdc4aa">Establish mini-conclusions at the end of major sections to summarize what you have discovered so far and how it links to the next part of your essay.</li></ul>&nbsp;A good example can be found <a href="/ee/economics/69aff5c0bb51ed15f0daacc1">here</a>.&nbsp;<pre><code class="language-plaintext">CAROUSEL</code></pre>&nbsp;<h3 style="text-align:justify;">Criterion D: Discussion and evaluation – 8 points</h3><div style="text-align:justify;">&nbsp;</div>This criterion requires a balanced review of your findings in a wider economic context. You must discuss the significance of your results, weighing them against established economic theories or diverse stakeholder views. Evaluation is crucial; you need to honestly appraise your methodology and data, identifying specific strengths and limitations, such as the reliability of your sample or the assumptions of a model. Finally, you should summarize your findings into a final conclusion that considers broader implications and notes any unresolved questions.&nbsp;For a maximum of 8 points:&nbsp;<ul><li data-list-item-id="e5d3d8212071075c95fcbeb95b7b36e21">Compare your research results with established literature to discuss how typical or unusual your findings are within the broader economy.&nbsp;</li><li data-list-item-id="ee4e26be4e34670d7d4ec4666b09f07bd">Critically evaluate your research methodology by identifying specific sources of error, such as data collection gaps or theoretical limitations, and their impact on your results.&nbsp;</li><li data-list-item-id="e28ea6a3a9c0477195ad062e6de6e510b">Discuss your findings from multiple perspectives, considering how different stakeholders (e.g., consumers, firms, or the government) might be affected by the economic issue.&nbsp;</li><li data-list-item-id="e3318f7ef2a7f7f785adec66e853a030e">Provide a summative conclusion that directly answers your research question based only on the evidence you have presented in the essay.&nbsp;</li><li data-list-item-id="eddf29c3ffa2adaa0a521906a6bdb0ace">Propose specific, realistic improvements or extensions to your research that could address the limitations you identified during your evaluation.</li></ul>&nbsp;<a href="/ee/economics/69aff1cfbb51ed15f0d4c30c">This EE</a> provides a good example of the above.&nbsp;&nbsp;<h3 style="text-align:justify;">Criterion E: Reflection – 4 points</h3><div style="text-align:justify;">&nbsp;</div>This criterion assesses your personal growth and the research process based on a 500-word reflective statement on the Reflection and Progress Form (RPF). You should evaluate how the experience has impacted you as a learner, providing specific examples of how you responded to challenges or how your perspective changed. Reflection should show evidence of transfer of learning and explain how skills like data literacy or critical thinking can be used in other contexts. These reflections are written after three mandatory sessions with your supervisor, including a final viva voce interview.&nbsp;For a maximum of 4 points:&nbsp;<ul><li data-list-item-id="e2498ae015f391f1f12248d42de893e20">Use your Researcher’s Reflection Space (RRS) to log specific challenges faced during the process, such as difficulty accessing data, and how you solved them.&nbsp;</li><li data-list-item-id="e212691820cba7f7ba93e2f75cdb10091">Reflect on how your understanding of an economic concept, like market efficiency, evolved from your initial brainstorm to the final analysis.&nbsp;</li><li data-list-item-id="e584edef8e9c6e3c587406b3f5d1dba77">Detail exactly how the skills you acquired, such as statistical analysis or critical source evaluation, will benefit you in future university studies or life.&nbsp;</li><li data-list-item-id="ed055258926432819fb608476d2d9b633">Explain how changes in your perspective during the research process, such as realizing the limitations of a specific economic model, impacted your decision-making.&nbsp;</li><li data-list-item-id="ea58c124ab6570e42738a21279a07651f">Discuss the impact of the three mandatory reflection sessions and how your supervisor's prompts helped you refine your economic inquiry.</li></ul>&nbsp;A strong reflection can be found in <a href="/ee/economics/69afefcbbb51ed15f0d26b8e">this EE</a>.&nbsp;<pre><code class="language-plaintext">PDFDownload: https://d5wyp2frzhena.cloudfront.net/Economics_EE_Checklist_ca26ccd4b8.pdf
TITLE: Download the Economics EE Checklist (PDF)
SUBTITLE: Download a clean, printable reference copy to check off as you go.</code></pre>&nbsp;We hope you found this post helpful in learning more about the IB Economics criteria. For more useful materials associated with the IB, check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify </a>and other guides available on our <a href="/blog" target="_blank" rel="noopener noreferrer">blog</a>.

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A comprehensive guide to Economics extended essay assessment criteria along with a checklist according to the rubric in the official IB guide. Check it out to improve your IB coursework!

Economics EE Criteria and Checklist

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A comprehensive collection of real world examples (case studies) for IB Economics ''Microeconomics'' (Unit 2).

IB Economics real world examples (Microeconomics)

Are you looking for more details about the IB Economics course? This guide breaks down the syllabus, assessments, and key skills you need to succeed, helping you confidently navigate the course and make informed decisions to ensure success in IB Economics.&nbsp;&nbsp;<h2 style="text-align:center;">IB Economics Guide</h2>&nbsp;&nbsp;<h3 style="text-align:justify;">General Overview&nbsp;</h3>&nbsp;<ul><li>Syllabus –&nbsp;IB Economics is designed to help students understand how individuals, firms, and governments make choices in a world of scarce resources. The course combines economic theory with real-world examples and contemporary issues, encouraging students to apply economic models to practical situations. Students explore topics such as microeconomics, macroeconomics, international trade, and development economics, while developing skills in analysis, evaluation, data interpretation, and the use of economic terminology to construct well-reasoned arguments. For a full overview of the IB Economics syllabus and the topics covered in each section, check out <a href="/blog/ib-economics-syllabus-topics" target="_blank" rel="noopener noreferrer">this post</a>.&nbsp;</li><li>Grade boundaries &nbsp;– Although the IB Economics grade boundaries change from session to session, it is important that you are familiar with what the approximate range of values can be. This can help you, especially when practicing past papers, as it can show you what grade category you fall into depending on the number of marks you obtain. The latest IB grade boundaries can be found <a href="/blog/ib-economics-grade-boundaries" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;</li><li>Getting the maximum score – The ultimate goal of any IB student is to get the highest score possible. To ensure your success in IB Economics, we have compiled some tips to help you get a 7. You can read our suggestions in <a href="/blog/how-to-get-a-7-in-ib-economics" target="_blank" rel="noopener noreferrer">this post</a>.&nbsp;&nbsp;</li><li>Assessment overview –&nbsp;The IB Economics course consists of both external exams and internal assessments, which will be outlined in more depth in the sections below. For a summary of the IB Economics <a href="/blog/ib-economics-paper-weighting" target="_blank" rel="noopener noreferrer">paper weighting</a>, click the link in blue.&nbsp;&nbsp;</li><li>Key concepts – There are 9 key concepts in IB Economics, including scarcity, choice, efficiency, equity, economic well-being, sustainability, change, interdependence, and intervention. These key concepts are embodied throughout the course, including in the internal and external assessments. For more details and examples of each key concept, check out <a href="/blog/ib-economics-key-concepts" target="_blank" rel="noopener noreferrer">this guide</a>.&nbsp;</li><li>General difficulty – IB Economics is considered a moderately challenging Group 3 subject, as it requires an in-depth understanding of complex economic theories and concepts, relative to other easier Group 3 subjects such as IB Business and Management or IB Geography. For a more in-depth view into how hard IB Economics is, check out <a href="/blog/how-hard-is-ib-economics" target="_blank" rel="noopener noreferrer">this guide</a>.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">External Assessments - Exams&nbsp;</h3>&nbsp;<ul><li>Paper 1 – This is an extended response paper based on all syllabus units. Each question is made up of two parts. In Part A, students must explain a concept, while in Part B, they must evaluate the given concept using real-world examples. More information about the structure, time limit, weighting, and differences between SL and HL for Paper 1 can be found <a href="/blog/ib-economics-paper-1" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;&nbsp;</li><li>Paper 2 –&nbsp;This is a data response paper based on all syllabus units. Students must answer around 8 short questions and 1 extended-response question. More information about the structure, time limit, weighting, and differences between SL and HL for Paper 2 can be found <a href="/blog/ib-economics-paper-2" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;&nbsp;</li><li>Paper 3 – This paper is only completed by HL students and is based on quantitative skills. Students must apply economic theory through calculations and data analysis. Paper 3 focuses on problem-solving questions, primarily from microeconomics and macroeconomics, requiring accurate use of formulas, logical working, and clear interpretation of results. More information about the structure, time limit, and weighting of Paper 3 can be found <a href="/blog/ib-economics-paper-3" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;</li><li>Command terms – To succeed in the exams, you must understand what each question type is asking you to do. Command terms such as "Construct", "Describe", "Draw", and "Explain" all have different meanings and require you to structure your answer in a certain way. Browse through our <a href="/blog/ib-economics-command-terms" target="_blank" rel="noopener noreferrer">list of command terms</a> to understand what each one means.&nbsp;</li><li>Real-world examples – Click the links in blue to explore some real-world examples for each syllabus unit within <a href="/blog/ib-economics-real-world-examples-microeconomics" target="_blank" rel="noopener noreferrer">microeconomics</a>, <a href="/blog/ib-economics-real-world-examples-macroeconomics" target="_blank" rel="noopener noreferrer">macroeconomics</a>, and <a href="/blog/ib-economics-real-world-examples-the-global-economy" target="_blank" rel="noopener noreferrer">the global economy</a>.&nbsp;</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Internal Assessment (IA)&nbsp;</h3>&nbsp;<ul><li>Topic ideas – The Economics IA involves analyzing news articles using relevant economic theories and concepts. A wide range of topics can be explored, including market behaviour, government intervention, global trade, and development. For a detailed list of topic ideas and examples, read our post <a href="/blog/economics-ia-topic-ideas-examples" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;&nbsp;</li><li>Choosing an article –&nbsp;Students must complete 3 commentaries as part of the IB Economics portfolio. Each commentary must be based on a separate syllabus topic (microeconomics, macroeconomics, the global economy) and key concept. To learn more about what articles are suitable for the Economics IA, click <a href="/blog/economics-ia-articles" target="_blank" rel="noopener noreferrer">here</a>. For help with choosing articles for your Economics IA, read <a href="/blog/how-to-choose-an-economics-ia-article" target="_blank" rel="noopener noreferrer">this post</a>.&nbsp;&nbsp;</li><li>Criteria – The Economics IA is scored against 6 main criteria. For a detailed list of the IB Economics IA criteria and a checklist of what to include to maximize your chances of a 7, check out our guide <a href="/blog/economics-ia-criteria" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;</li><li>Format and word count – Economics IAs should include sections such as a cover page, article, and main commentary. For a full guide to the format and structure of an Economics IA, including what each section should contain, see <a href="/blog/economics-ia-format-and-structure" target="_blank" rel="noopener noreferrer">this guide</a>. Each Economics commentary should be a maximum of 800 words. For a guide on how many words each section should be, read this post <a href="/blog/economics-ia-word-count-and-page-limit" target="_blank" rel="noopener noreferrer">here</a>.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Extended Essay (EE)&nbsp;</h3>&nbsp;<ul><li>Topic ideas – The Extended Essay is a 4,000-word independent investigation that allows you to explore a focused research question in depth. &nbsp;In IB Economics, the EE typically involves an in-depth analysis of a real-world economic issue using economic theories, models, and supporting data. For a detailed list of Economics EE topic ideas and associated examples, read our post <a href="/blog/economics-ee-topic-ideas-examples" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;</li><li>Criteria – The EE is scored against 5 criteria that target different aspects of your investigation, such as critical thinking, presentation and engagement. For a detailed list of the IB Economics EE criteria and a checklist of what to include to maximize your chances of an A in the EE, check out our guide <a href="/blog/economics-ee-criteria" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;</li><li>Format – A well-presented EE can drastically improve your score. Economics EEs should include sections such as an introduction, research question, methodology, analysis, conclusion and evaluation, and bibliography. For a full guide to the format and structure of an Economics EE, including what each section should contain, see <a href="/blog/economics-ee-format-and-structure" target="_blank" rel="noopener noreferrer">this guide</a>.&nbsp;</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Comparison to Other Subjects</h3>&nbsp;<ul><li>Business and Management –&nbsp;IB Business and Economics are two quite popular Group 3 IB subjects. However, the theory and calculations in IB Economics are more complex than those in IB Business. IB Business is more application-based and has more case studies, while IB Economics is more focused on theory. For a detailed overview of IB Business and IB Economics, including a comparison of course content, who should take these courses, and applicable university majors, read <a href="/blog/ib-business-management-vs-economics" target="_blank" rel="noopener noreferrer">this guide</a>.</li></ul>&nbsp;&nbsp;We hope this post has helped you learn more about IB Economics. For more useful materials associated with the IB, check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify </a>and other guides available on our <a href="/blog" target="_blank" rel="noopener noreferrer">blog</a>.&nbsp;

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A detailed guide to IB Economics. Read this post to learn more about the different aspects of IB Economics, such as exam papers, internal assessments, and extended essays. 

IB Economics Guide

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A comprehensive collection of real world examples (case studies) for IB Economics ''The Global Economy'' (Unit 4).

IB Economics real world examples (The Global Economy)

Have you got your economics IA deadline approaching soon and are unsure what to choose as your topic? Don't worry, this post is here to help you through that process! In this text, we will provide you with numerous economics IA ideas with examples to help you start the writing process. Our goal is to guide you in meeting the IB criteria and ensure you stay on track during the entire IA writing process. No matter what aspect of economics you are interested in, the suggestions below are sure to have something that is sure to satisfy you!&nbsp;<pre><code class="language-plaintext">RQGenerator: ["Government intervention", "Positive and negative externalities", "Macroeconomic policy", "Income distribution", "International trade"]</code></pre>&nbsp;<h2 style="text-align:center;">Microeconomics IA Ideas</h2>&nbsp;&nbsp;&nbsp;<ol><li><a href="/ia/economics/60309e60dfa68a00127f71f2" target="_blank" rel="noopener noreferrer">Taxes on cigarettes:</a> In this topic, you could look at the impact of consuming demerit goods such as cigarettes which are harmful to health, and also study why the government might tax these goods to discourage their consumption.&nbsp;</li><li><a href="/ia/economics/5fec8e7fbf717eb68b5257a1" target="_blank" rel="noopener noreferrer">Impact of fossil fuel subsidies:</a> Through this topic, you could analyze the impact of the government giving subsidies to suppliers of fossil fuels, which negatively impact the environment when they are burned.&nbsp;</li><li><a href="/ia/economics/64abb4acf66fe20013847577" target="_blank" rel="noopener noreferrer">Carbon tax:</a> Within this analysis, you could look at the impact of carbon taxes on companies and industries that produce a lot of carbon emissions to see whether implementing a carbon tax helps reduce these emissions.&nbsp;</li><li><a href="/ia/economics/62c7d115b6479f0013a50aaf" target="_blank" rel="noopener noreferrer">Childcare subsidies:</a> Looking at this topic, you could analyze the effect of government subsidies for childcare to offset the cost parents must undertake when looking for childcare.&nbsp;&nbsp;</li><li><a href="/ia/economics/62cd46189636f50014730b6a" target="_blank" rel="noopener noreferrer">Free public transport:</a> Through this topic, you could look at the environmental impacts of the government making all public transport free as it is a positive externality which reduces the use of vehicles and the burning of fossil fuels.&nbsp;&nbsp;</li><li><a href="/ia/economics/63e26caae1386a00140068e4" target="_blank" rel="noopener noreferrer">Price ceiling:</a> Looking at this topic, you could explore the impacts of a price ceiling placed on commodities such as food, which can be useful in controlling the price of commodities when inflation is high.&nbsp;&nbsp;</li><li><a href="/ia/economics/618b7091e45d510013e2e5bc" target="_blank" rel="noopener noreferrer">Subsidies for renewable energy:</a> In this analysis, you could look at the impacts of a government subsidy for renewable energy which is a positive externality as it prevents environmental pollution.&nbsp;</li><li><a href="/ia/economics/64b0c661b38ec100134bc790" target="_blank" rel="noopener noreferrer">Increasing minimum wage:</a> Within this study, you could analyze the impacts of increasing workers' minimum wages, which is especially important for low-wage workers.&nbsp;&nbsp;</li><li><a href="/ia/economics/622ca7d39a37d700138c33ba" target="_blank" rel="noopener noreferrer">Privatization of commodities:</a> Through this topic, you could look at how a previously public-owned commodity can become privatized and the effects that privatization can have on those who use the commodity (such as public transport, healthcare, etc.).&nbsp;</li><li><a href="/ia/economics/65241838fb522601eb8f8b3a" target="_blank" rel="noopener noreferrer">Taxes on unhealthy food and drink:</a> In this topic, you could explore the impacts of taxes imposed on unhealthy goods (such as sugary drinks, junk food, etc.).&nbsp;</li></ol>&nbsp;<pre><code class="language-plaintext">CAROUSEL</code></pre>&nbsp;<h2 style="text-align:center;">Macroeconomics IA Ideas</h2>&nbsp;&nbsp;&nbsp;<ol><li><a href="/ia/economics/5fec8dd4bf717eb68b52579e" target="_blank" rel="noopener noreferrer">Recession and unemployment:</a> In this topic, you could look at how an economic recession impacts the unemployment present in a country as workers struggle to find jobs, which can be measured by looking at the growth rate of the GDP.&nbsp;</li><li><a href="/ia/economics/60309eb7dfa68a00127f71f4" target="_blank" rel="noopener noreferrer">Interest rate cuts:</a> Through this topic, you could analyze how the economy responds to cuts in the interest rate, which are meant to boost the economy by increasing spending.&nbsp;&nbsp;</li><li><a href="/ia/economics/61102aa870945c0013dd21fd" target="_blank" rel="noopener noreferrer">Expansionary fiscal policy:</a> Within this analysis, you could explore the effects of expansionary fiscal policy that is used to boost an economy by increasing aggregate demand.&nbsp;&nbsp;</li><li><a href="/ia/economics/64a82230701b5600139b515a" target="_blank" rel="noopener noreferrer">Government spending and inflation:</a> Looking at this topic, you could analyze how high rates of government spending could cause the inflation rate to rise, which disadvantages the economy.&nbsp;&nbsp;</li><li><a href="/ia/economics/5ffc5b46e3625ef390b7312b" target="_blank" rel="noopener noreferrer">Fiscal policy and unemployment:</a> In this topic, you could investigate how using expansionary fiscal policy could lower the unemployment rate within a country.&nbsp;&nbsp;</li><li><a href="/ia/economics/6300cbf78483960013c96f54" target="_blank" rel="noopener noreferrer">Economic stimulus packages:</a> Within this analysis, you could explore how government intervention through an economic stimulus could boost economies affected by the impacts of COVID-19.&nbsp;&nbsp;</li><li><a href="/ia/economics/5fcdd4c718fea65968845405" target="_blank" rel="noopener noreferrer">COVID and recession:</a> Through this topic, you could analyze whether the coronavirus caused economic recessions worldwide due to businesses being forced to shut down during quarantine.&nbsp;&nbsp;</li><li><a href="/ia/economics/64b017a3b38ec100134b72b2" target="_blank" rel="noopener noreferrer">President boosting employment:</a> In this analysis, you could explore how the policies implemented by a President can boost employment within a country.&nbsp;&nbsp;</li><li><a href="/ia/economics/64be813750e28d001317341d" target="_blank" rel="noopener noreferrer">Income inequality:</a> Looking at this topic, you could analyze the income disparity between different regions within a country and what implications that may have for the quality of life across the country.&nbsp;&nbsp;</li><li><a href="/ia/economics/641a5c6925f9c500140ec433" target="_blank" rel="noopener noreferrer">Recovery after COVID-19:</a> Through this topic, you can look at how increasing aggregate demand and expansionary fiscal policy helps a country recover after the COVID-19 pandemic.&nbsp;</li></ol>&nbsp;&nbsp;&nbsp;<h2 style="text-align:center;">International Economics IA Ideas</h2>&nbsp;&nbsp;&nbsp;<ol><li><a href="/ia/economics/5ff3490974e8fd1e7ae28a2b" target="_blank" rel="noopener noreferrer">US tariffs on European exports:</a> In this topic, you could analyze the effects of the US imposing a tariff on European goods to protect the US economy from external competition due to unfair subsidies given to European producers by their governments.&nbsp;</li><li><a href="/ia/economics/622f47ee9a37d700138c3746" target="_blank" rel="noopener noreferrer">Increasing import quotas:</a> Through this topic, you can explore how increasing the import quota boosts a country's exports and provides them with more revenue, while also improving the trade relationship between the two countries.&nbsp;&nbsp;</li><li><a href="/ia/economics/6102bb7481ca760012706986" target="_blank" rel="noopener noreferrer">Dumping:</a> By looking at this topic, you can investigate the effects of dumping on foreign economies. Dumping is when goods are produced in one country and then sold in another country at a price that is below their cost of production, which negatively affects the country in which the dumped goods are sold.&nbsp;&nbsp;</li><li><a href="/ia/economics/64a6ef78701b5600139b4281" target="_blank" rel="noopener noreferrer">Free trade agreements:</a> Within this topic, you could look at how free trade deals and agreements work between countries to reduce tariffs and increase quotas, which benefits the economies of all the countries involved.&nbsp;&nbsp;</li><li><a href="/ia/economics/5fedb47a09a5c0bcfe46789f" target="_blank" rel="noopener noreferrer">US steel tariffs:</a> In this topic, you could explore the effects of the US importing steel tariffs on imports to protect the domestic steel industry which supplies many items to the economy and military, so the US does not want to depend on other countries for steel.&nbsp;&nbsp;</li><li><a href="/ia/economics/64c4c3a2d9afef0013e4aadc" target="_blank" rel="noopener noreferrer">Currency devaluation:</a> Through this analysis, you could determine the impacts of a government devaluing a currency to boost its foreign exchange reserves.</li></ol>&nbsp;&nbsp;For more IA ideas and a deeper insight into how to structure your IAs, head to the <a href="/" target="_blank" rel="noopener noreferrer">Clastify</a> website where you will be able to find numerous <a href="/search?q=micro" target="_blank" rel="noopener noreferrer">microeconomics</a>, <a href="/search?q=macro" target="_blank" rel="noopener noreferrer">macroeconomics</a>, and <a href="/search?q=international&amp;p=2" target="_blank" rel="noopener noreferrer">international economics</a> IA topics as well as exemplar IAs that you can refer to during your writing process!&nbsp;

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A comprehensive list of microeconomics, macroeconomics, and international economics IA internal assessment topic ideas along with explanations and examples. See what can be done and use this as inspiration for your own topic. 

Economics IA Topic Ideas + Examples

<h2 class="MsoNormal" style="text-align:center;">Economics IA word count and page limit&nbsp;<o:p></o:p></h2>&nbsp;Are you in the process of writing your Economics IA and you’re not sure how to structure it? How many words to devote to specific parts to get the best grade? Clastify comes to the rescue! Based on our experience and thousands of revised essays, we would like to present a structure that works best for written assessment in Economics. Read this text to clear your doubts and increase your chance of scoring a 7!<o:p></o:p> &nbsp;When it comes to the structure, Economics IA consist of 3 separate commentaries of news articles, each based on a different unit of the syllabus: Microeconomics, Macroeconomics, and The global economy. There is no page limit, however each commentary cannot exceed 800 words.&nbsp;<o:p></o:p> &nbsp;<h3 class="MsoNormal">Introduction&nbsp;<o:p></o:p></h3>You should start your commentary with an introduction under 100 words, as presented in this <a href="/ia/economics/6546d105888c030f5bc64643" target="_blank" rel="noopener noreferrer">exemplar.</a> The first paragraph should include a brief presentation of the situation described in the article. You should also identify the key concept to which it refers: scarcity, choice, efficiency, equity, economic well-being, sustainability, change, interdependence, or intervention.<o:p></o:p> &nbsp;<h3 class="MsoNormal" style="text-align:justify;">Diagrams&nbsp;<o:p></o:p></h3>Next, the analyzed situation should be illustrated with the use of diagrams. The diagrams are not included in the word count (if labeled properly), whereas their explanation should take up to 200 words.&nbsp;In this part, you should describe all elements of the diagram and refer to them while explaining the shifts of the curves. It is also important to determine their impact on the stakeholders. Considering the limited word count, we suggest using 2 diagrams.&nbsp;You can see this part well-executed in <a href="/ia/economics/64a95780701b5600139b5965" target="_blank" rel="noopener noreferrer">this work</a>.&nbsp;&nbsp;<pre class="MsoNormal"><code class="language-plaintext">CAROUSEL</code></pre>&nbsp;<h3 class="MsoNormal" style="text-align:justify;">Analysis<o:p></o:p></h3>In the analysis of around 150 words, you should refer to the economic theory taught in the IB course to further explain the situation, as done in <a href="/ia/economics/64abe7c7f66fe2001384a2ae" target="_blank" rel="noopener noreferrer">this IA</a>. Do not ignore the additional factors presented in the article, if this case is not strictly per the theory, explain how the circumstances contribute to the economic turnout.&nbsp;<o:p></o:p> &nbsp;<h3 class="MsoNormal" style="text-align:justify;">Evaluation&nbsp;<o:p></o:p></h3>Evaluation is a crucial part of your work, therefore we suggest that you devote around 300 words to this section. After having presented the situation from the article you should propose a solution. In this part, you showcase your understanding of economic phenomena and the limitations of their countermeasures. For proper evaluation consider possible pros and cons, as presented in this <a href="/ia/economics/64bbd15b50e28d00131698b5" target="_blank" rel="noopener noreferrer">exemplar</a>, but you could also take into account the short and long-term effects of the proposed solution. End your commentary with a short conclusion, do not add any new information to this final paragraph.&nbsp;<o:p></o:p> &nbsp;Remember that the suggested word distribution between the sections is approximate. However, we advise you to stick to the proposed ratio as this structure is common within the high-scoring exemplars. It ensures devoting appropriate attention to each of the sections, which is important considering that the commentary cannot exceed 800 words. <a href="/ia/economics/64abe7c7f66fe2001384a2ae" target="_blank" rel="noopener noreferrer">Here</a> you can find a highly-scored Clastify exemplar with a similar structure.&nbsp;<o:p></o:p> &nbsp;Be careful, make sure to deduct the following because they are not included in the word count.:&nbsp;&nbsp;<o:p></o:p><ol><li class="MsoNormal" style="mso-list:l0 level1 lfo1;text-indent:-18.0pt;">Acknowledgments</li><li class="MsoNormal" style="mso-list:l0 level1 lfo1;text-indent:-18.0pt;">Contents page</li><li class="MsoNormal" style="mso-list:l0 level1 lfo1;text-indent:-18.0pt;">Diagrams&nbsp;</li><li class="MsoNormal" style="mso-list:l0 level1 lfo1;text-indent:-18.0pt;">Labels — of five words or fewer&nbsp;<o:p></o:p></li><li class="MsoNormal" style="mso-list:l0 level1 lfo1;text-indent:-18.0pt;">Headings on diagrams — of 10 words or fewer&nbsp;<o:p></o:p>&nbsp;<o:p></o:p></li><li class="MsoNormal" style="mso-list:l0 level1 lfo1;text-indent:-18.0pt;">Tables of statistical data</li><li class="MsoNormal" style="mso-list:l0 level1 lfo1;text-indent:-18.0pt;">Equations, formulae and calculations&nbsp;</li><li class="MsoNormal" style="mso-list:l0 level1 lfo1;text-indent:-18.0pt;">Citations (which, if used, must be in the body of the commentary)&nbsp;<o:p></o:p></li><li class="MsoNormal" style="mso-list:l0 level1 lfo1;text-indent:-18.0pt;">References (which, if used, must be in the footnotes/endnotes)&nbsp;<o:p></o:p> &nbsp;</li></ol>For more tips regarding IAs from Economics and other subjects check out the remaining publications on the <a href="/blog" target="_blank" rel="noopener noreferrer">Clastify blog</a>. Also, do not forget about the exemplars available on our <a href="/" target="_blank" rel="noopener noreferrer">website.</a> Good luck with your written assessments!<o:p></o:p>

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Short guide to Economics IA word count and structure. Check out our recommendations and improve your work!

Economics IA word count and page limit 

Choosing the right articles for your Economics Internal Assessment (IA) is one of the most crucial steps in crafting a high-quality commentary. The articles you select will serve as the foundation of your analysis, so it’s important to ensure they align with IB requirements, and have the potential for insightful economic analysis. In this post, we’ll guide you through the process of selecting the perfect articles for your IA.&nbsp;&nbsp;<h2 style="text-align:center;">How to choose an Economics IA article</h2>&nbsp;&nbsp;Before we dive into the guide for choosing IB Economics articles, we would like to provide you with a quick summary of what these articles actually are. Articles are a key component of the IB Economics Internal Assessment, as they essentially are the subject of the IA. For the Economics IA, students are required to produce three commentaries, each centered around a selected article. In each commentary, the student presents the article at the beginning, and then uses economic theories and graphs to analyze and evaluate the content, demonstrating their understanding of the topic.&nbsp;&nbsp;We shall now move on to the guide on how to choose IB Economics IA articles.&nbsp;&nbsp;<h3>Start with your interests&nbsp;</h3>&nbsp;Choosing IA articles becomes much easier when you focus on topics that genuinely interest you. When you're passionate or curious about a subject, your analysis naturally becomes more thoughtful and engaging. If you choose articles that revolve around topics that genuinely interest you, you will find it much easier to later write your analysis.&nbsp;&nbsp;<h3>&nbsp;</h3><h3>Align your articles with the IB requirements</h3>&nbsp;Remember however that each of your three commentaries must connect to one of the IB Economics Key Concepts: scarcity, choice, efficiency, equity, economic well-being, sustainability, change, interdependence, or intervention. When evaluating potential articles, ensure that the topic clearly links to one of these concepts. For example, an article about rising healthcare costs might relate to equity and economic well-being, while one on trade disputes could tie to interdependence and change. Also, make sure that the articles you choose allow for the use of the economic theories and models you learned about throughout the course.&nbsp;&nbsp;<h3>&nbsp;</h3><h3>Cover different syllabus areas</h3>&nbsp;The IB requires each commentary to address a different syllabus area: microeconomics, macroeconomics, international economics, and global economics. Therefore, ensure that the articles you select align with these areas. For instance, a microeconomics article might focus on government-imposed price controls in housing, while a macroeconomics piece could explore a country’s recent GDP growth and unemployment trends. An international economics article might discuss the impact of currency fluctuations on trade, and a global economics piece could examine how climate change policies affect international markets.&nbsp;&nbsp;<pre><code class="language-plaintext">CAROUSEL</code></pre><h3>&nbsp;</h3>&nbsp;<h3>Use various, reliable sources</h3>&nbsp;Each article must come from a different source, so choose reputable publications like The Economist, Financial Times, BBC News, or other trusted outlets. Avoid unreliable sources such as personal blogs, social media posts, or advertisements.&nbsp;&nbsp;Also, remember that your articles must be recent. They must be published within one year of the date you write your commentary.&nbsp;&nbsp;<h3>&nbsp;</h3><h3>Select articles that allow for focused analysis</h3>&nbsp;Keep in mind that relevance and depth matter more than length. Shorter articles are often a good choice because they make it easier to stay within the 800-word limit. If you find a longer article with a lot of potential, focus on one specific section.&nbsp;&nbsp;&nbsp;We hope you found this post helpful. For more useful materials associated with the IB check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify </a>and other guides available on our <a href="/blog" target="_blank" rel="noopener noreferrer">blog</a>.&nbsp;

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A comprehensive guide to choosing IB Economics IA Articles.

How to choose an Economics IA article

Economics IA articles are a crucial part of the IB Economics Internal Assessment. In this post, we'll break down everything you need to know about these articles, equipping you with the knowledge to excel in your Economics IA.&nbsp;&nbsp;<h2 style="text-align:center;">Economics IA Articles</h2>&nbsp;&nbsp;<h3>&nbsp;</h3><h3>What are Economics IA Articles?</h3>&nbsp;Articles are a key component of the IB Economics Internal Assessment, as they essentially are the subject of the IA. For the Economics IA, students are required to produce three commentaries, each centered around a selected article. In each commentary, the student presents the article at the beginning, and then uses economic theories and graphs to analyze and evaluate the content, demonstrating their understanding of the topic.&nbsp;&nbsp;<h3>&nbsp;</h3><h3>How do I choose my IA Articles?</h3>&nbsp;The easiest way to find articles for your IA is by conducting an online search. We recommend to search up key word or phrases that relate to the topic you would like to explore. When selecting articles, ensure they are connected to the <a href="/blog/ib-economics-key-concepts" target="_blank" rel="noopener noreferrer">IB Economics Key Concepts</a>, as each commentary must be linked to one of these concepts—scarcity, choice, efficiency, equity, economic well-being, sustainability, change, interdependence, and intervention. Furthermore, each commentary must relate to a different syllabus area (macroeconomics, microeconomics, international economics, global economics).&nbsp;&nbsp;It is important to remember that each article must be from a different source and must have been <span style="-webkit-text-stroke-width:0px;display:inline !important;float:none;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;orphans:2;text-align:justify;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:pre-wrap;widows:2;word-spacing:0px;">published no earlier than one year before the writing of the commentary.&nbsp;<h3>&nbsp;</h3><h3>&nbsp;</h3><h3>How long can the Articles be?</h3>&nbsp;The IBO does not specify the required length of the Articles students can use. We however advise you to choose articles of such length that allows for deep analysis that fits within the 800–word limit. If you however come across a lengthy article that seems promising for a strong commentary, you can always simply highlight the relevant fragments on which you wish to base your commentary.&nbsp;<h3>&nbsp;</h3><h3>&nbsp;</h3><h3>What types of Articles can I use?</h3>&nbsp;Most articles found online can be used for your IA, provided they allow for economic analysis and can be connected to an IB Economics Key Concept and an area from the syllabus. However, students are strongly advised to avoid basing their commentaries on blog posts, social media content, advertisements, and governmental reports.&nbsp;It is also important to mention that your commentary does not have to be based solely on articles that are explicitly economic in nature. If you come across an article that, while not primarily economic, offers the potential for insightful economic analysis, don't hesitate to use it.&nbsp;&nbsp;&nbsp;We hope you found this post helpful. For more useful materials associated with the IB check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify </a>and other guides available on our <a href="/blog" target="_blank" rel="noopener noreferrer">blog</a>.&nbsp;

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A comprehensive guide to Economics IA Articles. Learn about what Economics IA Articles are, what types of articles can be used, how to choose them, and their required length.

Economics IA Articles 

Your Economics EE deadline is approaching and you don’t know what to choose as your essay’s topic? Don’t worry, Clastify is here to help! We prepared a list of topic ideas and examples for you to get inspired. We are hoping that you will find our suggestions helpful in the writing process.&nbsp; &nbsp;<pre><code class="language-plaintext">RQGenerator: ["Government intervention", "International trade", "Market structures", "Development economics", "Digitalization &amp; economic transformation"]</code></pre><h2 style="margin-bottom:0pt;margin-top:0pt;text-align:center;" dir="ltr">&nbsp;</h2><h2 style="margin-bottom:0pt;margin-top:0pt;text-align:center;" dir="ltr">Economics EE ideas&nbsp; &nbsp;</h2><ol><li><a href="/ee/economics/64a98d95f66fe20013841c64&nbsp;" target="_blank" rel="noopener noreferrer">Provision of COVID-19 vaccines: </a>The COVID-19 pandemic lea the government to initiate the National COVID-19 Immunisation Programme. The aim was to swiftly vaccinate the majority of Malaysians to save lives, boost the economy, and lower virus transmission risks. The effectiveness of the vaccine provision, analyzed in this study will help gauge its impact on Malaysia's GDP and unemployment rate, guiding future decisions on vaccination strategies during outbreaks. &nbsp; &nbsp;</li><li><a href="/ee/economics/64d257265cfe90001277be3a " target="_blank" rel="noopener noreferrer">Steel cap policy:</a> Within this analysis, you could look at the impact of one country’s policy on global prices of ore iron and how it affected the export quantity of a different country. The market for iron ore is dominated by a few key players. Brazil, the second-largest producer, relies on vast reserves to export significant quantities of iron ore, while China's role as both the largest importer of iron ore and the largest steel producer significantly influences market dynamics. Recent policies in China, such as capping steel output due to environmental concerns, are expected to impact iron ore prices and global economic trends, prompting an analysis of the relationship between Chinese steel production and Brazilian iron ore exports. &nbsp; &nbsp;</li><li><a href="/ee/economics/62d3cadeefe3ca0013f9a5c2" target="_blank" rel="noopener noreferrer">Trade war:</a> Through this topic, you could explore how the imposition of import tariffs influenced the export performance of a chosen country.&nbsp;The US - China trade war resulted in bilateral tariffs exceeding billions of dollars, disrupting global trade flows. Both countries suffered economic repercussions, leading to potential opportunities for other nations like Pakistan. China's retaliatory tariffs on American seafood imports led to a decline in U.S. seafood exports to China, creating a gap in supply that Pakistan, a major seafood producer, could potentially fill. &nbsp;</li><li><a href="/ee/economics/62e26b9cf3cb8f0013903a9c " target="_blank" rel="noopener noreferrer">Government policies on cigarette consumption:</a> Within this topic, you could evaluate the effectiveness and impact on stakeholders of different policies aimed at reducing the negative externalities of smoking. The Slovak government and the European Union share a goal to reduce cigarette consumption to 5% by 2040. Hypothesizing that Slovakia's policies may not effectively reduce cigarette consumption due to the addictive nature of smoking, this research evaluated the long-term effects of government interventions on tobacco consumption habits. &nbsp; &nbsp;</li><li><a href="/ee/economics/62e4ca921459fa0013b21140" target="_blank" rel="noopener noreferrer">Market structure: </a>For your EE you could analyse a chosen market to determine its structure taking into account its size, prices, number of firms, product differentiation etc.&nbsp;Ice cream parlors have become prominent in Bratislava, which suggests a growing role for ice cream businesses in urban economy, prompting questions about customer preferences, competition, and market structure. Investigating these dynamics in the Old Town's seasonal ice cream market offers insights into consumer behavior and business strategies amidst limited operating windows and intense competition. &nbsp;</li><li><a href="/ee/economics/63350678d77add00134d7cf1 " target="_blank" rel="noopener noreferrer">Microcredits</a>: Microcrediting, pioneered by Grameen Bank in Bangladesh, aims to uplift impoverished individuals by providing small, accessible loans. While traditionally seen as a tool for women's economic empowerment, the effectiveness of microcredits in fostering growth and development, particularly during the COVID-19 pandemic, is questioned. This research seeks to evaluate the impact of microcredits on women's empowerment and economic development in Dhaka, Bangladesh, before and after the pandemic, offering insights into its role in supporting vulnerable communities in times of crisis and framing developmental strategies for the post-pandemic world. &nbsp; &nbsp;</li><li><a href="/ee/economics/63460b7a153d09001469c9d3" target="_blank" rel="noopener noreferrer">Digital modes of payment:</a> If you chose this topic, you could elaborate on to what extent the digital modes of payment substituted cash and what were the spillover effects observed in the chosen country.&nbsp;In case of India, the government advocates to embrace digital payments to remain competitive globally. However, the transition to digital transactions will be a gradual process, with challenges such as acceptance in all markets, particularly rural areas lacking infrastructure. While digitization may lead to lower corruption and economic growth, the shift from cash to digital payments prompts a need to explore the extent and implications of this transformation on India's economy. &nbsp; &nbsp;</li><li><a href="/ee/economics/5f802ee7356a187b1bb87a4d">Parental benefit policy</a>: In this analysis, you could look at the effects of introducing parental benefits policy on the standard of living taking into account different factors such as the life expectancy or education index.&nbsp;The Polish "500+" program, providing financial aid to all children without conditions, has garnered public attention and parallels with Universal Basic Income. This topic is significant due to its relevance to modern issues like the aging population, as highlighted by the World Health Organization's projections. Despite its short history and limited research, the "500+" program warrants study as a pioneering family policy instrument with potential implications for broader welfare policies &nbsp;<pre><code class="language-plaintext">
 CAROUSEL
 </code></pre> &nbsp;</li><li><a href="/ee/economics/6185f54aa296080013457e65 " target="_blank" rel="noopener noreferrer">Tax on fat: </a>The fatty food market represents a market failure caused by externalities, asymmetric information and cognitive failure. The author proposes introducing a tax to decrease fatty food consumption. Through this topic, you could analyse how the imposition of such a tax would reduce the healthcare costs of a chosen country and evaluate its impact on different stakeholders.&nbsp; &nbsp; &nbsp;</li><li><a href="/ee/economics/6180ec35a296080013457651" target="_blank" rel="noopener noreferrer">E-commerce turning point:</a> Looking at this topic, you could discuss how COVID-19 led to a digital transformation resulting in an e-commerce turning point. The competitive landscape in this market has intensified as consumers increasingly prefer the convenience of online shopping over traditional retail experiences. You could support the analysis of a country’s economy with a case study of an e-commerce firm, this extended essay investigated the theoretical and empirical view on the growth of Amazon. &nbsp; &nbsp;</li><li><a href="/ee/economics/6307190da315bb0013dc69ea&nbsp;" target="_blank" rel="noopener noreferrer">Direct taxes</a>: In this analysis, you could determine whether direct taxes are the best way to address the over-consumption of demerit goods and propose complementary policies. This EE investigated the intervention on the sugary drink market taking into consideration the regressive effect on the poor, price elasticity of demand, and effect of asymmetric information. Alternative policies such as the use of legislation, negative ads, and nudges were also considered.&nbsp; &nbsp; &nbsp;</li><li><a href="/ee/economics/64d90b136444cd0013a81676 " target="_blank" rel="noopener noreferrer">Russian invasion of Ukraine:</a> &nbsp;Ukraine's invasion by Russia in February 2022 disrupted its grain production and export, causing global grain prices to soar and leading to higher inflation rates worldwide. Farmers in Brandon, Manitoba, Canada, a major wheat and rapeseed producer, were expected to benefit from these events. The research focused on assessing the impact on global agriculture, analyzing economic theories, and gathering insights from interviews with Brandon farmers. This comprehensive approach aimed to understand how supply-side shocks affected grain and oilseed markets and how farmers responded to changes in operating costs and market conditions. &nbsp; &nbsp;</li><li><a href="/ee/economics/64a6ce35701b5600139b4128" target="_blank" rel="noopener noreferrer">Nudges: </a>In this topic from behavioral economics you could assess the effectiveness of gently altering individuals' behavior and compare it to other possible policies.&nbsp;By observing the impact of nudges on student participation at School X, the author determined their effectiveness in promoting engagement and how this may benefit the UK economy by fostering skilled individuals and improving academic outcomes. This investigation seeks to understand whether nudges in a school environment can replicate the success seen in other contexts and contribute to broader economic growth trends, such as increased academic achievement rates. &nbsp;</li><li><a href="/ee/economics/64b2f6d63770b400128510a1" target="_blank" rel="noopener noreferrer">Productivity:</a> By deciding on this topic, you could analyze how different factors such as savings influence workers' productivity.&nbsp;The COVID-19 lockdowns saw reports of increased worker productivity, particularly among high-income teleworkers, prompting a closer examination of the neglected home-based garment workers who are often trapped in poverty cycles due to low savings. Investigating the impact of savings on the productivity of home-based garment workers in South Delhi is essential for understanding their economic dynamics and informing policies to support this vulnerable segment of the informal labor force. &nbsp;</li><li><a href="/ee/economics/62e382e4389adc00143c64e7" target="_blank" rel="noopener noreferrer">Seasonality:</a> Through this topi,c you could examine the effect of seasonality on a chosen market, its prices and the quantity of products or services sold. Many buyers and sellers face the challenge of determining the optimal timing for transactions to align with their needs and preferences. Seasonality, characterized by fluctuations in market activity at specific times of the year, is a common phenomenon in many real estate markets but may not be universally applicable. Investigating the extent of seasonality in Riga's real estate market is crucial for prospective buyers and sellers to anticipate price fluctuations and make informed investment decisions.</li></ol> For more extended essay ideas head to the Clastify website where you will find the remaining <a href="/ee/economics">economics exemplars</a> that you can refer to in your writing process! Also, check out our <a href="/review" target="_blank" rel="noopener noreferrer">Review service</a> for constructive feedback on your IB coursework. &nbsp; &nbsp;

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A list of economics extended essay ideas along with examples. Check out for inspiration with your IB coursework. 

Economics EE Topic Ideas + Examples 

Are you considering choosing IB Economics as your Group 3 subject but you're wondering if it's right for you? If you’re looking at different options and wondering about the challenges IB Economics might pose, this guide will provide you with some information so that you can make a well-informed decision.&nbsp;&nbsp;<h2 style="text-align:center;">How Hard is IB Economics?</h2>&nbsp;<h3 style="text-align:justify;">&nbsp;</h3><h3 style="text-align:justify;">Difficulty</h3>&nbsp;Official IB statistics show that IB Economics is one of the easier Group 3 subjects, with 15.0% of HL and 14.1% of SL students achieving a grade of 7, according to data from the May 2024 exam session. Most students achieve a grade of 5. It is important to keep in mind that subjects such as IB Economics are often assessed through short answer and essay-style responses rather than through calculations or facts. As such, there is often no clear answer in IB Economics and grading is subjective based on how well the student answers the question and meets the grading criteria, which explains the average grade of 5 in IB Economics.&nbsp;&nbsp;Most students admit that IB Economics is a moderately challenging IB subject. It requires a significant amount of memorization regarding economic theories and policies. The assessment of this theory is also subjective, rather than there being a clear-cut answer. IB Economics can be considered similar in difficulty to IB Geography, which is also very essay-heavy and requires significant memorization. That being said, comparison between subjects is subjective and depends heavily on an individual student's strengths.&nbsp;&nbsp;<h3 style="text-align:justify;">What are some of the challenges of IB Economics?</h3>&nbsp;<ul><li>Students must understand various economic theories and policies, such as monetary policy, fiscal policy, indirect/direct taxation, elasticity, market failure, tariffs, quotas, etc.&nbsp;&nbsp;</li><li>Students must be proficient at drawing and interpreting economic diagrams such as demand-supply curves, Production Possibility Curves (PPCs), diagrams showing externalities, tariff diagrams, Lorenz curves and Phillips curves. &nbsp;&nbsp;</li><li data-start="318" data-end="512">Students must link economic concepts to current events, policies, and case studies for essays and analysis in the IA, which requires a deep understanding of the material.&nbsp;&nbsp;</li><li>Arguments need to be clearly presented in short answers and essay format on exams. This requires accurate use of terminology and clear reasoning.&nbsp;&nbsp;</li><li>Students must analyze fiscal, monetary, and supply-side policies, which requires knowledge of their advantages and limitations. Students must be aware of the situations in which each policy works best.&nbsp;</li><li>Students must understand and differentiate between similar terms, for example, short-run vs. long-run, nominal vs. real values, and public vs. merit goods, which can be confusing.&nbsp;</li><li>Students must choose real-world news articles and critically evaluate them as part of their Internal Assessment (IA). This consists of three commentaries from different syllabus units within IB Economics, which can be challenging as students are expected to provide a thorough analysis and link each commentary to a <a href="/blog/ib-economics-key-concepts" target="_blank" rel="noopener noreferrer">key concept</a>. &nbsp;&nbsp;</li></ul>&nbsp;&nbsp;<pre><code class="language-plaintext">CAROUSEL</code></pre>&nbsp;&nbsp;<h3 style="text-align:justify;">Who should consider doing IB Economics?</h3>&nbsp;Students who wish to pursue Economics, Finance, Business, Political Science, or Law would benefit from taking IB Economics as it provides a solid foundation for studying these programs at college, in addition to potentially being a requirement for many courses in these programs. &nbsp;Students who like to problem-solve and who consider themselves logical thinkers will enjoy this course as it requires analyzing data, evaluating policies, and making logical connections between theories and real-world events. If you are interested in understanding how concepts such as inflation, unemployment, trade, and government policies affect daily life, IB Economics might be a good choice for you!&nbsp;Students wishing to pursue majors similar to those listed above should consider taking IB Economics at the Higher Level (HL) as they will be able to gain a more in-depth study of economics to prepare them for higher education in related fields. Students who are interested in economics but do not wish to pursue majors such as those listed above are advised to take IB Economics at the Standard Level (SL) instead.&nbsp;&nbsp;&nbsp;<h3 style="text-align:justify;">Tips for Succeeding in IB Economics</h3>&nbsp;<ul><li>Complete past papers – IB Economics places a strong emphasis on the application of economic theory. There is a lot of information that students need to memorize. Doing past paper questions will allow you to practice and apply these learned concepts, as well as develop your essay-writing skills.&nbsp;</li><li>Practice drawing essential diagrams – Spend time drawing and labeling supply &amp; demand, market structures, externalities, AD-AS diagrams, and tariff diagrams accurately, as they are essential for high-scoring answers.&nbsp;&nbsp;</li><li>Use flashcards – Create flashcards for key terms and important concepts. Quiz yourself to reinforce your memory and improve recall. This will help you retain the information better.&nbsp;&nbsp;</li><li>Practice essay questions –&nbsp; Practice writing essay-style questions as these are a big part of the examination. You should time how long you take to complete one essay as well as the entire paper. This is because essay writing can often be time-consuming as you need to plan your thoughts and write them cohesively using a good flow within a set timeframe. It is important to practice this skill beforehand to ensure you do not run out of time during the actual exam.&nbsp;&nbsp;</li><li>Stay on track – In IB Economics, many concepts build upon previous topics. Make sure you clarify any doubts early on to ensure they do not confuse you later in the course.&nbsp;&nbsp;</li><li>Know the IB command terms – Differentiate between terms like "analyze," "evaluate," and "discuss" to ensure you can tailor your response effectively. The command terms for IB Economics are explained in depth <a href="/blog/ib-economics-command-terms" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;</li><li>Carefully plan your IA – Select a topic that you are truly interested in. Ensure your IA is well-organized, clear, and detailed as the IA is worth 20% of your overall grade. Be sure to explore our <a href="/ia/economics">Economics IA exemplars</a><a href="/ia/biology" target="_blank" rel="noopener noreferrer"> </a>for guidance. You need to complete three commentaries as part of the Economics IA portfolio so make sure you start early to ensure you have enough time to complete all three.&nbsp;</li></ul>&nbsp;&nbsp;We hope you found this post helpful. For more useful materials associated with the IB, check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify </a>and other guides available on our <a href="/blog" target="_blank" rel="noopener noreferrer">blog</a>.&nbsp;

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Understand how hard IB Economics is. Explore what makes the course challenging, who it is suitable for, the difference between SL and HL, and tips on succeeding in IB Economics.

How Hard is IB Economics?

Are you a current IB Economics student and wondering how to get a perfect IB score in Economics? This post is here to provide you with some guidance on how you can achieve your goal of getting a 7. Read on for some of our top tips to help you succeed in IB Economics!&nbsp;&nbsp;<h2 style="text-align:center;">How to get a 7 in IB Economics</h2>&nbsp;&nbsp;<h3 style="text-align:justify;">Master the fundamental concepts</h3>&nbsp;IB Economics requires students to understand and memorize many concepts within microeconomics (e.g. externalities, demand-supply analysis, market failure, etc.) macroeconomics (e.g. inflation, unemployment, fiscal/monetary policy), and global economics (e.g. tariffs, quotas, balance of payments, exchange rates, etc.). Students should ensure they can understand the theory behind these concepts and how they are applied in the real world.&nbsp;&nbsp;&nbsp;<h3 style="text-align:justify;">Memorize key topics</h3>&nbsp;IB Economics is highly dependent on memorization as students often have to learn a large number of concepts and interpret models like the AD-AS model, Keynesian model, Phillips curve, Lorenz curve, and PPFs/PPCs. etc. Students are required to use critical thinking to apply these concepts effectively in exams and assessments. Students must memorize various concepts and be able to apply them in unfamiliar contexts. The theory is extensive, so students should be prepared to do a lot of memorization, especially at HL where significant calculations are also required.&nbsp;&nbsp;&nbsp;<h3 style="text-align:justify;">Learn the IB command terms</h3>&nbsp;Pay attention to words like "describe", "explain", "analyze", "evaluate", and "construct" in exam questions. Each type of command term has a different meaning and requires you to answer the questions in a certain way. Check out the mark schemes of past papers to understand what examiners are looking for when answering questions that use different command terms. For a full list of IB Economics command terms check out this post <a href="/blog/ib-economics-command-terms" target="_blank" rel="noopener noreferrer">here</a>.&nbsp;&nbsp;&nbsp;<h3 style="text-align:justify;">Complete past papers</h3>&nbsp;The best way to revise for an exam and get a 7 on it is to do past papers. The exam format is very similar from year to year and questions can often follow the same patterns. Aim to do past papers dating back at least 5 years from the exam session you are planning to sit for. Older papers can also be done, however, you should be mindful that the IB changes their syllabi regularly, so older papers may not be representative of the current testable content. Nevertheless, you can still do older papers as extra practice. To simulate exam conditions, you could even set a timer to see if you can finish the past papers within the time allotted for your actual exam.&nbsp;&nbsp;<pre><code class="language-plaintext">CAROUSEL</code></pre>&nbsp;&nbsp;<h3 style="text-align:justify;">Understand the exam format&nbsp;</h3>&nbsp;For Paper 1, focus on mastering economic theory and how to apply it. Make sure you are familiar with various diagrams and incorporate them into your analysis when answering exam questions. For Paper 2, work on analyzing data, graphs, and extracts. Practice answering questions using structured responses and applying theory to explain situations. Both these papers require extensive essays that allow you to demonstrate your understanding of economic principles. Make sure to include at least 1-2 diagrams per essay to support your arguments. Paper 3 (HL only) requires strong calculation skills. Practice how to calculate percentage changes, elasticities, total revenue, and other numerical concepts. Show your work clearly and include all steps as examiners may give part marks in case your final answer is incorrect.&nbsp;&nbsp;<h3 style="text-align:justify;">Craft a strong IA</h3>&nbsp;The IA makes up 20% of your final grade in IB Economics, which is a significant amount. You should start the IA process as early as you can to give yourself enough time to choose a topic, and research relevant articles as the IB Economics IA is composed of three commentaries - one from microeconomics, one from macroeconomics, and one from global economics. Make sure to follow a logical structure, which includes all the elements described in <a href="/blog/economics-ia-format-and-structure" target="_blank" rel="noopener noreferrer">this post</a>. Submit your draft to your teacher for feedback on how to improve. For further guidance, check out our <a href="/ia/economics" target="_blank" rel="noopener noreferrer">collection of Economics IAs</a> to see detailed comments on what makes a good IA. To be sure your IA is of the highest quality, you can also submit it to Clastify's <a href="/review" target="_blank" rel="noopener noreferrer">review service</a>.&nbsp;&nbsp;&nbsp;<h3 style="text-align:justify;">Practice essay questions</h3>&nbsp;Practice writing essay-style questions as these are a big part of the examination. Use the PEEL paragraphs technique (Point, Evidence, Explanation, Link) to strengthen your analysis. You should time how long you take to answer each question as well as the entire paper. This is because essay writing can often be time-consuming as you need to plan your thoughts and write them cohesively using a good flow within a set timeframe. It is important to practice this skill beforehand to ensure you do not run out of time during the actual exam. You should also learn to identify which economic diagrams to include depending on the essay question.&nbsp;&nbsp;<h3 style="text-align:justify;">&nbsp;</h3><h3 style="text-align:justify;">Study consistently</h3>&nbsp;IB Economics is quite memorization-heavy and requires constant reviewing of the material to ensure you remember the vast content. Ensuring consistent study habits is crucial to achieving a 7. Create a dedicated study schedule and practice IB Economics at a fixed date and time weekly. Ensure your study space is free from any distractions and allows you to focus thoroughly on the material.&nbsp;&nbsp;&nbsp;<h3 style="text-align:justify;">Stay updated on global news</h3>&nbsp;Keep up with the news on international trade, fiscal/monetary policies, and policies that target externalities (e.g. indirect taxes to stop negative consumption externalities, subsidies to boost positive production externalities, etc.) to expand your knowledge of real-world examples. This could help you on exams where questions may be based on current events.&nbsp;&nbsp;&nbsp;We hope this post helped you learn more about how to get a 7 in IB Economics. For more useful materials associated with the IB, check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify </a>and other guides available on our <a href="/blog" target="_blank" rel="noopener noreferrer">blog</a>.&nbsp;

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A comprehensive guide to obtaining a 7 in IB Economics. Explore our top tips on how to achieve a perfect score. 

How to get a 7 in IB Economics?

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A detailed guide to the core diagrams encountered in the microeconomics portion of the IB Economics course. Read this for some tips on what to keep in mind when drawing each diagram.

IB Economics Diagrams – Microeconomics

Diagrams are one of the most important aspects of IB Economics. While understanding definitions, theories, and policies is essential, students are also expected to communicate economic concepts visually through accurate diagrams. In many cases, a well-drawn diagram can significantly improve the quality of an exam response or internal assessment commentary. Although the Global Economy section of the IB Economics syllabus contains a variety of concepts, a relatively small number of diagrams appear repeatedly throughout examinations. In this post, we examine the four most important global economy diagrams that every IB Economics student should know thoroughly.&nbsp;&nbsp;<h2 style="text-align:center;">IB Economics Diagrams – The Global Economy</h2>&nbsp;&nbsp;<h3 style="text-align:justify;">Tariff Diagram</h3><h3 style="text-align:justify;">&nbsp;</h3>Tariffs are taxes imposed on imported goods and are one of the most frequently tested forms of protectionism in IB Economics. The tariff diagram illustrates how imposing a tax on imports increases domestic prices, reduces imports, encourages domestic production, and decreases domestic consumption. Students are expected to understand how tariffs affect consumers, producers, governments, and overall economic welfare. In addition to identifying changes in prices and quantities, students should be able to label government revenue and welfare losses accurately. This diagram is particularly important because it combines concepts from both microeconomics and international economics and frequently appears in Paper 1 and Internal Assessment commentaries.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="e406e585e369778e608e253f33f86921f">Begin with the free trade equilibrium by drawing domestic supply and demand curves alongside the world price.</li><li data-list-item-id="ef50d02c451d0b6564ea1ccbe66330d40">Draw the tariff as a vertical increase above the world price and clearly label the new domestic price.</li><li data-list-item-id="e4b4a707aa8148bcbfa127ec3e7ce036d">Identify domestic production and domestic consumption before and after the tariff using dotted guidelines.</li><li data-list-item-id="e90e4fafe2c8b351b1d2ca810fde6e43d">Clearly label imports both before and after the tariff to demonstrate the reduction in trade.</li><li data-list-item-id="eb939d7901bb81fd3b3aeb760be64cb5a">Shade and label government tariff revenue accurately using the post-tariff import quantity.</li><li data-list-item-id="e10ebf816ba02f96e05c992a922c67e3c">Identify and label the deadweight welfare loss triangles resulting from production and consumption inefficiencies.</li><li data-list-item-id="e71f98f3fd9be467983a9680e898e363f">Ensure that all quantities, prices, and welfare areas are clearly distinguishable and do not overlap.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Import Quota Diagram</h3>&nbsp;Import quotas are quantitative restrictions that limit the amount of a good that may be imported into a country. Unlike tariffs, which indirectly affect imports through price changes, quotas directly restrict the quantity of imports entering the market. Quotas increase domestic prices, reduce consumer surplus, and benefit domestic producers. Students are expected to understand how quotas differ from tariffs and how they affect market efficiency and economic welfare. Because quotas often appear in discussions of protectionism and trade policy evaluation, students should be comfortable drawing and explaining these diagrams quickly and accurately.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="e49764b53a9d77875598ade2b6576d9d0">Start by drawing the domestic supply and demand curves together with the world price equilibrium.</li><li data-list-item-id="e19d1e12ee4cf70ce158a53da0de580e3">Clearly identify domestic production, domestic consumption, and imports under free trade conditions.</li><li data-list-item-id="ebb12214f0a48198b33783b1e65feda00">Introduce the quota by restricting imports to a fixed quantity and identify the resulting domestic price increase.</li><li data-list-item-id="e9ca22a3853dc76688380ed409ba34042">Label domestic production and domestic consumption after the quota is imposed.</li><li data-list-item-id="eda3693d77cb5fca1a01a434013fe54c5">Clearly indicate the quota rent area and distinguish it from government revenue.</li><li data-list-item-id="e199e916649e8c37b2483fffb511353b2">Shade and label the welfare loss areas resulting from overproduction and underconsumption.</li><li data-list-item-id="eaf7704397eb35765ba8c5dd939893964">Use vertical and horizontal guide lines to ensure that all quantities and prices can be interpreted easily.</li></ul>&nbsp;<pre><code class="language-plaintext">CAROUSEL</code></pre><h3 style="text-align:justify;">Export Subsidy Diagram</h3>&nbsp;An export subsidy is a government payment provided to domestic producers to encourage exports. Export subsidies artificially lower production costs and increase exports, often allowing domestic firms to become more competitive in international markets. However, export subsidies can also distort market outcomes, create welfare losses, and lead to international trade disputes. In IB Economics, students are expected to understand how export subsidies affect domestic prices, domestic consumption, domestic production, exports, government expenditure, and overall economic efficiency. This diagram frequently appears in discussions of trade protection and government intervention in international markets.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="e758b17c8588ccd4a02ab4b0b78fc972c">Begin by drawing the domestic supply and demand diagram with the initial world price.</li><li data-list-item-id="e04988842706f570cee1a9ecc696dd03c">Introduce the export subsidy by showing the increase in the effective price received by producers.</li><li data-list-item-id="e4b8fc4eaa39d076ca3fc3f990c1257a5">Clearly identify changes in domestic production and domestic consumption following the subsidy.</li><li data-list-item-id="e9f9fc683d0861965c13c7da99e01c3a7">Label the increase in exports resulting from the subsidy.</li><li data-list-item-id="e2f4b5b4b0f5c01795f87f27c5978b33a">Shade and label government expenditure on the export subsidy accurately.</li><li data-list-item-id="e60b5dab76f825f04a836273f65aa1c33">Identify any welfare loss areas resulting from inefficient production and consumption decisions.</li><li data-list-item-id="e89d66b168bca03dc4f176ea870de8b21">Ensure that all equilibrium prices and quantities are clearly marked using guidelines.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Exchange Rate Determination Diagram</h3>&nbsp;The foreign exchange market diagram illustrates how exchange rates are determined by the interaction of demand and supply for a currency. Changes in interest rates, inflation, economic growth, trade flows, and investor confidence can all influence currency demand and supply, causing appreciation or depreciation. Students must understand both the mechanics of exchange rate determination and the broader economic consequences of exchange rate fluctuations. This diagram appears frequently in examination questions related to balance of payments, international competitiveness, inflation, and economic policy.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="ef22b0c03be8ea3dba6102e9ad0b7676f">Label the vertical axis as the exchange rate and the horizontal axis as the quantity of currency traded.</li><li data-list-item-id="efb311fe7636d19e3f5ad490c285631ae">Draw downward-sloping demand and upward-sloping supply curves for the currency.</li><li data-list-item-id="ed1c69c90e6616a1e75011baf700cf064">Clearly identify the initial equilibrium exchange rate and quantity using labels such as E₁, ER₁, and Q₁.</li><li data-list-item-id="ecbbb781bf0b0a2da56c699921bdf4306">Use arrows to indicate shifts in demand or supply resulting from economic changes.</li><li data-list-item-id="e45159b52606fc6ed2e0a79cf96dfce30">Label the new equilibrium exchange rate and identify whether the currency appreciates or depreciates.</li><li data-list-item-id="e3bc2b5a82a1a1d3d936075ba19c3aea1">Ensure that exchange rate changes are clearly visible and not obscured by labels or annotations.</li><li data-list-item-id="e2ced8a1c49de27c5d684d4a221ed86ed">Maintain realistic slopes for the demand and supply curves and avoid excessive diagram complexity.</li></ul>&nbsp;&nbsp;We hope you found this post helpful in learning more about common global economy diagrams encountered in IB Economics. For more useful materials associated with the IB, check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify </a>and other guides available on our <a href="/blog" target="_blank" rel="noopener noreferrer">blog</a>.

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A detailed guide to the core diagrams encountered in the global economy portion of the IB Economics course. Read this for some tips on what to keep in mind when drawing each diagram.

IB Economics Diagrams - The Global Economy

Diagrams are one of the most important aspects of IB Economics. While memorizing definitions and theories is essential, students are also expected to communicate economic concepts visually through accurate diagrams. In many cases, a strong diagram can significantly improve the quality of an exam response or internal assessment commentary. Although the IB Economics syllabus contains many macroeconomic diagrams, a relatively small number appear repeatedly in Paper 1, Paper 2, and Internal Assessment tasks. In this post, we examine the most important macroeconomics diagrams that every IB Economics student should know thoroughly.&nbsp;&nbsp;<h2 style="text-align:center;">IB Economics Diagrams – Macroeconomics</h2>&nbsp;&nbsp;<h3 style="text-align:justify;">AD/AS Model</h3>&nbsp;The Aggregate Demand–Aggregate Supply (AD/AS) model is the foundation of IB Macroeconomics. It is used to analyse changes in national income, price levels, economic growth, inflation, and unemployment. Aggregate demand represents total demand in the economy at different price levels, while aggregate supply represents total output produced by firms at different price levels. The interaction between AD and short-run aggregate supply (SRAS) determines short-run equilibrium output and price level, while long-run aggregate supply (LRAS) represents the economy’s potential output. Most macroeconomic policies, including fiscal and monetary policy, are analysed using this diagram.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="e6a843fccb750c4396b64f9cca6472f1e">Always label the vertical axis as “Price Level” and the horizontal axis as “Real GDP,” as this distinguishes macroeconomic diagrams from microeconomic ones clearly.</li><li data-list-item-id="e2a4dd48c98a40733a4643b9ee28c12dc">Include AD, SRAS, and LRAS curves, ensuring LRAS is drawn as a vertical line at potential output.</li><li data-list-item-id="e337bed3085bfb3cb012da0aaca294a66">Clearly label equilibrium points such as E₁ and E₂, along with corresponding price levels and output levels.</li><li data-list-item-id="ec757c4c27dfdb9e555beeead087948d3">Use arrows to show shifts in AD or SRAS and clearly indicate whether the economy is expanding or contracting.</li><li data-list-item-id="e673973619d1e1a471488151b855e543f">Distinguish between short-run and long-run equilibrium when appropriate, especially in policy evaluation questions.</li><li data-list-item-id="e2da0c48a06c08ce86df0289c89fbc60e">Ensure LRAS is perfectly vertical and positioned correctly at full employment output.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Keynesian AD/AS Model</h3>&nbsp;The Keynesian AD/AS diagram differs from the classical model by showing that the economy may not always operate at full employment. It includes a horizontal, upward-sloping, and vertical section of aggregate supply, reflecting different levels of spare capacity. This diagram is particularly useful for analysing recessionary gaps, inflationary gaps, and the effectiveness of fiscal policy. It highlights that demand-side policies may be necessary when the economy is below full employment, especially during deep recessions.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="e51e3f0a61c89340359c2b3cd22384e0b">Draw the Keynesian AS curve with three distinct sections: horizontal (recession), upward-sloping (intermediate), and vertical (full employment).</li><li data-list-item-id="e82945f1557fb2e23a3fbbde0494240f8">Clearly label equilibrium output below or above potential output, depending on the scenario.</li><li data-list-item-id="eaab6d9a9d142e2695671b7d188dc6ea6">Highlight recessionary or inflationary gaps using shaded areas or clear annotations.</li><li data-list-item-id="e96fab6e6171307d8f14c9bdad91d0cd1">Use AD shifts to demonstrate the impact of fiscal or monetary policy interventions.</li><li data-list-item-id="e30ff2ac355bdd1f5054dfb37f60931de">Ensure smooth transitions between the three segments of the AS curve.</li><li data-list-item-id="edcebfd6224937cdfb90a4dbd8796552c">Clearly distinguish potential output from actual output using vertical reference lines.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Phillips Curve</h3>&nbsp;The Phillips Curve shows the inverse relationship between unemployment and inflation in the short run. It is used to explain trade-offs faced by policymakers when attempting to reduce unemployment at the cost of higher inflation, or vice versa. In the long run, the curve is vertical at the natural rate of unemployment, showing that there is no permanent trade-off. This diagram is central to discussions of monetary policy and supply-side shocks.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="e0c56080c289ac43b9b5a6258d9e74168">Label the vertical axis as “Inflation Rate” and the horizontal axis as “Unemployment Rate.”</li><li data-list-item-id="e1aaf52af419884125788d1268a900d1a">Draw a downward-sloping short-run Phillips Curve and a vertical long-run Phillips Curve.</li><li data-list-item-id="ec3e7d81f6b5d8ab17082b5ae7cc84de3">Clearly distinguish between movement along the curve and shifts of the curve.</li><li data-list-item-id="e84430bf1fd23f56eb548531d5e2a9abc">Label equilibrium points to show changes in inflation and unemployment over time.</li><li data-list-item-id="ec7f2f169ed8fea346f265ffeaa3bf574">Include annotations for expected inflation when relevant to the question.</li><li data-list-item-id="ef2142c1fd9e5cad1d463ffd2ae403c56">Ensure the long-run Phillips Curve is vertical at the natural rate of unemployment.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Lorenz Curve and Gini Coefficient</h3>&nbsp;The Lorenz Curve is used to illustrate income or wealth inequality within an economy. It compares the actual distribution of income to a perfectly equal distribution. The further the curve lies from the line of equality, the greater the inequality. The Gini coefficient quantifies this inequality as a ratio of the area between the Lorenz Curve and the line of equality. This diagram is often used in development economics and discussions of equity and redistribution policies.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="eadf59b553ac71e1dc45a285ab8a85a31">Draw a 45-degree line representing perfect equality and a bowed Lorenz Curve below it. The diagram should look like a semicircle at this point.&nbsp;</li><li data-list-item-id="e1079a3dd30432c877f41f79a17746fd1">Ensure both axes are labelled as cumulative percentage of income and population.</li><li data-list-item-id="e09ffae92f98e0ea777b5567a8874183a">Clearly label the area between the Lorenz Curve and the equality line when referencing the Gini coefficient.</li><li data-list-item-id="e65835068c62298b2221e6e6abc3858bd">Make the curvature realistic – more inequality means a greater distance away from the equality line.</li><li data-list-item-id="eab905544106125d7f780d6dd21a27d8c">Use clear percentages (0% to 100%) on both axes.</li></ul>&nbsp;<pre><code class="language-plaintext">CAROUSEL</code></pre><h3 style="text-align:justify;">Lorenz Curve (Policy Redistribution)</h3>&nbsp;This variation of the Lorenz Curve is used to demonstrate the impact of government redistribution policies such as progressive taxation, welfare payments, and subsidies. It shows how income distribution becomes more equal after government intervention. The post-redistribution curve lies closer to the line of equality, reflecting reduced inequality. This diagram is particularly useful in evaluating fiscal policy and discussing equity in development economics.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="e17bb0af5b53f86679534e9635654edb2">Draw two Lorenz Curves –&nbsp;one before redistribution and one after redistribution.</li><li data-list-item-id="e8f5c1277262db8f43473b7749876dbe4">Clearly show the post-redistribution curve closer to the line of equality.</li><li data-list-item-id="e41e5e8a0a5a377b99f1e97acaded9393">Label both curves clearly to avoid confusion during evaluation.</li><li data-list-item-id="e4c444646bba072f8e0265c23fbdda075">Ensure both curves remain within the same axes for accurate comparison.</li><li data-list-item-id="e29e11c2bfe16152f8724e03dee3fb666">Highlight the reduction in inequality visually using shading or arrows.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Unemployment Diagram (AD/AS or Labour Market)</h3>&nbsp;Unemployment is typically illustrated using either the AD/AS model or a labour market diagram. In AD/AS, unemployment is shown when equilibrium output is below full employment output, while in the labour market model, unemployment is represented as an excess supply of labour. This diagram is central to macroeconomic policy discussions, including demand-side and supply-side policies aimed at reducing unemployment.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="e3cb93d438d2c4d686de438003cdd5f49">Clearly define the type of unemployment being shown (cyclical, structural, or frictional, if relevant).</li><li data-list-item-id="e91aac0b234d473da46bd7012125c8b40">In AD/AS, show output below potential output with a recessionary gap.</li><li data-list-item-id="e97920e04b979b040c9a9baa2b17d893e">In labour market diagrams, the wage above equilibrium leading to excess labour supply.</li><li data-list-item-id="eac7b93c1d7ea4f3aeb903e897eeefc4f">Label unemployment clearly as the gap between labour supplied and demanded.</li><li data-list-item-id="e8eab7d110c32677fa669a04fe3023184">Use arrows to indicate policy responses such as shifting AD or labour demand.</li><li data-list-item-id="ed065f8e8c4ec4a4534726f207d9ee434">Ensure clarity in distinguishing between equilibrium and disequilibrium situations.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Inflation Diagram (AD/AS Perspective)</h3>&nbsp;Inflation in IB Economics is most commonly illustrated using the AD/AS model. Demand-pull inflation occurs when aggregate demand increases, while cost-push inflation occurs when aggregate supply decreases. This diagram helps explain how changes in spending, costs of production, or supply shocks affect the overall price level in an economy. It is frequently used in discussions of monetary policy, fiscal policy, and external shocks such as oil price increases.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="e48e8e1d4b680bf8029c21a72bd05a05a">Clearly distinguish between demand-pull (AD shift) and cost-push (SRAS shift) inflation.</li><li data-list-item-id="e68be812e00e456cc8970b06fecb1059c">Label initial and new equilibrium price levels clearly to show inflation.</li><li data-list-item-id="e7d9cae1266b40ee5c88df0e769796c10">Use arrows to indicate shifts in AD or SRAS and resulting price changes.</li><li data-list-item-id="e6d05bf1b5bd6725267023c38c8727f7f">Include real output changes to show trade-offs between inflation and growth.</li><li data-list-item-id="e96c8f5ae23ca5a81e5f486b58f796c07">Ensure LRAS is included when discussing long-run inflation effects.</li><li data-list-item-id="e67649180763d75b3ce91f55922d26fb4">Keep the diagram consistent with AD/AS conventions used elsewhere in macroeconomics.</li></ul>&nbsp;&nbsp;<h3 style="text-align:justify;">Economic Growth Diagram (AD/AS or PPC)</h3>&nbsp;Economic growth can be shown using either the AD/AS model or the Production Possibilities Curve (PPC). In AD/AS, growth is represented by an outward shift in LRAS, while in PPC, growth is shown as an outward shift of the curve. This diagram is essential for understanding long-term increases in productive capacity, driven by improvements in technology, labour force, or capital stock.&nbsp;Things to keep in mind:&nbsp;<ul><li data-list-item-id="eb954e01feca35657ff9073176702e445">In AD/AS, show LRAS shifting to the right to indicate increased potential output.</li><li data-list-item-id="e2d50ce16882040b702dbb2159937c9b4">In PPC, draw a clear outward shift of the entire curve.</li><li data-list-item-id="e3d56ffabaefe1f120290f5e3c2b35a39">Label causes of growth such as investment, technology, or human capital.</li><li data-list-item-id="e832644eed971077fbc9db4310bd29742">Distinguish between short-run increases in AD and long-run growth in LRAS.</li><li data-list-item-id="e70eb0743620815bb741db2dafc5c2b8c">Clearly label initial and new equilibrium points.</li><li data-list-item-id="e10499eabfb8e0c27fdf7b9e1369a27d1">Ensure shifts are realistic and clearly justified in written analysis.</li></ul>&nbsp;&nbsp;We hope you found this post helpful in learning more about common macroeconomics diagrams encountered in IB Economics. For more useful materials associated with the IB, check out the wide variety of <a href="/ia" target="_blank" rel="noopener noreferrer">IA</a>, <a href="/ee" target="_blank" rel="noopener noreferrer">EE </a>and <a href="/tok" target="_blank" rel="noopener noreferrer">TOK </a>exemplars available at <a href="/" target="_blank" rel="noopener noreferrer">Clastify </a>and other guides available on our <a href="/blog" target="_blank" rel="noopener noreferrer">blog</a>.

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A detailed guide to the core diagrams encountered in the macroeconomics portion of the IB Economics course. Read this for some tips on what to keep in mind when drawing each diagram.

IB Economics Diagrams – Macroeconomics

Are you wondering how you can get the best possible grade in IB Economics? Look no further as this post is here to help give you an idea of the grade boundaries so you can plan yourself accordingly. Keep in mind that these values change from session to session and hence are only an indicator of the approximate marks you would need for a certain grade, but feel free to use this guide as a planning tool!&nbsp;&nbsp;<h2 style="text-align:center;">IB Economics Grade Boundaries</h2>&nbsp;The following grade boundaries are based on official IB May 2025 grade boundaries.<h3>&nbsp;</h3><h3>Standard level</h3>&nbsp;<figure class="table" style="width:100%;"><table><thead><tr><th colspan="5">Points needed</th></tr></thead><tbody><tr><td>Grade</td><td>Paper 1</td><td>Paper 2</td><td>IA</td><td>Final grade (%)</td></tr><tr><td>1</td><td style="text-align:center;">0-3</td><td>0-6</td><td>0-6</td><td>0-14</td></tr><tr><td>2</td><td style="text-align:center;">4-7</td><td>7-13</td><td>7-12</td><td>15-29</td></tr><tr><td>3</td><td style="text-align:center;">8-10</td><td>14-17</td><td>13-20</td><td>30-42</td></tr><tr><td>4</td><td style="text-align:center;">11-12</td><td>18-22</td><td>21-25</td><td>43-53</td></tr><tr><td>5</td><td style="text-align:center;">13</td><td>23-27</td><td>26-31</td><td>54-63</td></tr><tr><td>6</td><td style="text-align:center;">14-15</td><td>28-32</td><td>32-36</td><td>64-74</td></tr><tr><td>7</td><td style="text-align:center;">16-25</td><td>33-40</td><td>37-45</td><td>75-100</td></tr></tbody></table></figure>&nbsp;<h3>&nbsp;</h3><h3>Higher level</h3>&nbsp;<figure class="table" style="width:100%;"><table><thead><tr><th colspan="6">Points needed</th></tr></thead><tbody><tr><td>Grade</td><td>Paper 1</td><td>Paper 2</td><td>Paper 3</td><td>IA</td><td>Final grade (%)</td></tr><tr><td>1</td><td style="text-align:center;">0-2</td><td style="text-align:center;">0-6</td><td>0-8</td><td>0-6</td><td style="text-align:center;">0-13</td></tr><tr><td>2</td><td style="text-align:center;">3-5</td><td style="text-align:center;">7-13</td><td>9-17</td><td>7-12</td><td style="text-align:center;">14-28</td></tr><tr><td>3</td><td style="text-align:center;">6-10</td><td style="text-align:center;">14-17</td><td>18-22</td><td>13-20</td><td style="text-align:center;">29-41</td></tr><tr><td>4</td><td style="text-align:center;">11-13</td><td style="text-align:center;">18-22</td><td>23-29</td><td>21-25</td><td style="text-align:center;">42-53</td></tr><tr><td>5</td><td style="text-align:center;">14-15</td><td style="text-align:center;">23-27</td><td>30-36</td><td>26-31</td><td style="text-align:center;">54-64</td></tr><tr><td>6</td><td style="text-align:center;">16-18</td><td style="text-align:center;">28-32</td><td>37-43</td><td>32-36</td><td style="text-align:center;">65-76</td></tr><tr><td>7</td><td style="text-align:center;">19-25</td><td style="text-align:center;">33-40</td><td>44-60</td><td>37-45</td><td style="text-align:center;">77-100</td></tr></tbody></table></figure><h2 style="text-align:center;">&nbsp;</h2>&nbsp;We hope that this guide helps you in planning your studies and IA writing. For examples of how to structure a good <a href="/ia/economics" target="_blank" rel="noopener noreferrer">economics IA</a> check out these blog posts (<a href="/blog/economics-ia-topic-ideas-examples" target="_blank" rel="noopener noreferrer">1</a>- topic ideas, <a href="/blog/economics-ia-format-and-structure" target="_blank" rel="noopener noreferrer">2</a>- format and structure, <a href="/blog/economics-ia-word-count-and-page-limit" target="_blank" rel="noopener noreferrer">3</a>- word count and page limit, <a href="/blog/economics-ia-criteria" target="_blank" rel="noopener noreferrer">4-</a> criteria). Also, make sure to visit <a href="/" target="_blank" rel="noopener noreferrer">Clastify </a>for tons of free IA examples. Good luck!&nbsp;

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A comprehensive list of IB Economics grade boundaries for Paper 1, Paper 2, Paper 3 and the IA. See what the boundaries are and use this to plan your studying accordingly. 

IB Economics Grade Boundaries 

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A detailed guide to the most common terms in IB Economics. Use this guide to familizarize yourself with the definitions and improve your conceptual understanding.

IB Economics Definitions

Economics explores how individuals, businesses, and governments make choices about resource allocation. Students study microeconomics, macroeconomics, and international economics, developing analytical skills to understand economic theories and real-world applications.

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