Bristol Year 12 Bristol Year 12 ConferenceConference

Answering Data Response Answering Data Response QuestionsQuestions

John BirchallJohn Birchall

Key Skills – similar to ASKey Skills – similar to AS

The economics exam tests The economics exam tests four types of four types of assessment objectives:assessment objectives: knowledge, application knowledge, application of knowledge, analysis and evaluationof knowledge, analysis and evaluation: : Many Many questions are marked against a Levels Response questions are marked against a Levels Response scheme. They normally focus on:scheme. They normally focus on:

Level 1 Level 1 tests your tests your knowledgeknowledge of the syllabus and of the syllabus and your ability to your ability to express that knowledgeexpress that knowledge e.g. the e.g. the make up of the balance of payments. Or ways of make up of the balance of payments. Or ways of measuring unemployment and inflation. measuring unemployment and inflation. Defining Defining terms clearlyterms clearly is often a good way to start an is often a good way to start an answer.answer.

Level 2Level 2 test your ability to test your ability to apply your knowledgeapply your knowledge and understanding to particular problems and issues. and understanding to particular problems and issues.

The higher level skills –The higher level skills –tested more at A2tested more at A2

Level 3Level 3 tests your ability tests your ability to use economic theories to use economic theories and conceptsand concepts to analyse micro and macroeconomic to analyse micro and macroeconomic problems problems e.g. to use aggregate demand & supply e.g. to use aggregate demand & supply diagrams to show rising unemployment caused by a diagrams to show rising unemployment caused by a negative output gap. Or show the effects of an import negative output gap. Or show the effects of an import tariff on domestic producers and consumer.tariff on domestic producers and consumer.

Level 4Level 4 tests your ability to tests your ability to evaluate problems and evaluate problems and policiespolicies and make informed and reasoned and make informed and reasoned judgements based on theory and the evidence judgements based on theory and the evidence provided provided e.g. short term and long term implications. e.g. short term and long term implications. Evaluation must be based on analysis Evaluation must be based on analysis for the top for the top marks to be awarded.marks to be awarded.

Command WordsCommand Words

Lower Order SkillsLower Order Skills Knowledge & Application of KnowledgeKnowledge & Application of Knowledge Calculate:Calculate: Work out using the information providedWork out using the information provided Define:Define: Give the exact meaningGive the exact meaning Describe:Describe: Give a description ofGive a description of Give (an account of):Give (an account of): As `describe‘As `describe‘ Give an example:Give an example: Give a particular exampleGive a particular example How (explain how):How (explain how): In what way or in what waysIn what way or in what ways Identify:Identify: Point outPoint out Illustrate: Illustrate: Give examples/diagramGive examples/diagram Outline: Outline: Describe without detailDescribe without detail State: State: Make clearMake clear Summarise:Summarise: Give main points, without detailGive main points, without detail Which: Which: Give a clear example/state whatGive a clear example/state what

More on Command Words –More on Command Words –Higher Order SkillsHigher Order Skills

Analyse Economic Problems and IssuesAnalyse Economic Problems and Issues

Analyse:Analyse: Set out the main points.Set out the main points.

Apply:Apply: Use in a specific way.Use in a specific way.

Compare:Compare: Give similarities and differences.Give similarities and differences.

Consider:Consider: Give your thoughts about.Give your thoughts about.

Explain (why):Explain (why): Give clear reasons.Give clear reasons.

Justify/account for:Justify/account for: Give reasons for.Give reasons for.

More on Command Words – Higher More on Command Words – Higher Order Skills = more marks at A2Order Skills = more marks at A2

Evaluate Arguments and Evidence:Evaluate Arguments and Evidence: making making informed judgementsinformed judgements

Assess:Assess: Show how important something is.Show how important something is.

Criticise:Criticise: Give an opinion, support with evidence.Give an opinion, support with evidence.

Discuss:Discuss: Give the importance arguments, for Give the importance arguments, for and against.and against.

Evaluate:Evaluate: Discuss the importance of, making Discuss the importance of, making some attempt to weight your opinions.some attempt to weight your opinions.

To what extent:To what extent: Make a judgement.Make a judgement.

Let’s think about what you will be askedLet’s think about what you will be asked

The data response questions are ones that students The data response questions are ones that students often find difficult. So, let’s look at what they normally often find difficult. So, let’s look at what they normally ask you to do. ask you to do. Describe the main changes / fluctuations in a data Describe the main changes / fluctuations in a data

seriesseries – – these will appear as they do in AS exams in a these will appear as they do in AS exams in a table or chart.table or chart.

Making relevant comparisons between two or more Making relevant comparisons between two or more pieces of datapieces of data – – this is a popular FIRST QUESTION – this is a popular FIRST QUESTION – again quite like AS.again quite like AS.

Accounting for changes in economic dataAccounting for changes in economic data – – again a again a familiar style at AS level.familiar style at AS level.

Explain basic economic relationshipsExplain basic economic relationships – – once again once again AS papers have these in them.AS papers have these in them.

Some other things they willSome other things they willwant you to answerwant you to answer

Identify and evaluate possible effects of Identify and evaluate possible effects of government policiesgovernment policies – – again in AS. again in AS.

Assess problems in forecasting future Assess problems in forecasting future movements in economic variablesmovements in economic variables – – less common less common at AS. at AS.

Assess / evaluate the impact of changes in a Assess / evaluate the impact of changes in a variablevariable – – not quite so common at AS.not quite so common at AS.

So, let’s spend a few minutes thinking about what So, let’s spend a few minutes thinking about what each of these really means.each of these really means.

Types of QuestionsTypes of Questions

Let’s think about what they might ask you. As there Let’s think about what they might ask you. As there are 3 Awarding Bodies in England alone I do not are 3 Awarding Bodies in England alone I do not know which Specification you will be following.know which Specification you will be following.

So, I have taken a typical question and developed So, I have taken a typical question and developed some suggested answers.some suggested answers.

Look at the suggestions and think how that cover the Look at the suggestions and think how that cover the skills you are supposed to showskills you are supposed to show

Remember Economics has concepts, principles and Remember Economics has concepts, principles and theories, so please use them.theories, so please use them.

We also like the correct diagrams to appearWe also like the correct diagrams to appear

Also, it’s your interpretation + skill use of what they Also, it’s your interpretation + skill use of what they give you.give you.

Let’s look at how you should answer a Let’s look at how you should answer a Data Response paper at A2Data Response paper at A2

(a) Using the extract BRIEFLY compare the real (a) Using the extract BRIEFLY compare the real income growth of the poorest and richest income growth of the poorest and richest households for 1979-1989 and 1997-2003households for 1979-1989 and 1997-2003(4 marks)(4 marks)

What is the framework against which you What is the framework against which you should work?should work?

1 mark for EACH valid point and 1 mark for 1 mark for EACH valid point and 1 mark for each supporting reference.each supporting reference.

Question (a) continuedQuestion (a) continued

You MUST keep to the SPECIFIC time You MUST keep to the SPECIFIC time period(s) mentioned.period(s) mentioned.

You must answer BOTH time periods.You must answer BOTH time periods.

You MUST include MAGNITUDES.You MUST include MAGNITUDES.

So, a good answer would have included:So, a good answer would have included: A quick description of 1979-89 – with the A quick description of 1979-89 – with the

difference between rich and poor being noted.difference between rich and poor being noted. The second period saw more equal growth The second period saw more equal growth

between the rich and poor.between the rich and poor. Use of data to support above.Use of data to support above.

Question (b) Question (b)

(b) EXPLAIN (Command Word) WHY changes (b) EXPLAIN (Command Word) WHY changes in unemployment and labour inactivity rates in unemployment and labour inactivity rates CAUSED the GROWTH of income inequality CAUSED the GROWTH of income inequality in UK to slow down in 1990s (6 marks)in UK to slow down in 1990s (6 marks)

The data showed that the growth in inequality The data showed that the growth in inequality slowed and NOT that income inequalities were slowed and NOT that income inequalities were reduced. ALWAYS READ THE DATA reduced. ALWAYS READ THE DATA VERYVERY CAREFULLY.CAREFULLY.

Question (b) continuedQuestion (b) continued

What did they want?What did they want?

Definition of unemploymentDefinition of unemployment

Definition of labour inactivityDefinition of labour inactivity

Explain WHAT is meant by income inequalityExplain WHAT is meant by income inequality

2 marks for each = 6 marks available2 marks for each = 6 marks available

USE the CASE STUDY wherever possibleUSE the CASE STUDY wherever possible

Question (b) – some tipsQuestion (b) – some tips

Look and see if both sets of the DATA Look and see if both sets of the DATA changed in same direction.changed in same direction.

See if there is a LINK regarding the TWO sets See if there is a LINK regarding the TWO sets of data and if so explain this.of data and if so explain this.

Watch your timing as in most Awarding Bodies Watch your timing as in most Awarding Bodies this low order question will only be worth a this low order question will only be worth a small number of marks.small number of marks.

Question (c) Question (c)

Now the skills and marks start to be more Now the skills and marks start to be more demanding.demanding.

Level Response Mark Scheme – so think Level Response Mark Scheme – so think about wide-ranging analysis (causes and about wide-ranging analysis (causes and consequences), clear focus and explicit and consequences), clear focus and explicit and accurate examples. accurate examples.

Think CONTENT, APPLICATION, ANALYSIS Think CONTENT, APPLICATION, ANALYSIS and EVLAUTION. Look at marks available and and EVLAUTION. Look at marks available and command word. Then think TIMING.command word. Then think TIMING.

Question (c)Question (c)

(c) Analyse how an increase in income tax (c) Analyse how an increase in income tax rates can affect total tax revenue (10 marks)rates can affect total tax revenue (10 marks)

Once again always DEFINE where possible. Once again always DEFINE where possible. So, tell them what is meant by the terms So, tell them what is meant by the terms included above, such as high levels of income included above, such as high levels of income tax, labour market incentives.tax, labour market incentives.

Then address the direction of the question, Then address the direction of the question, which is HOW.which is HOW.

Question (c)Question (c)

To score highly they will want you to show To score highly they will want you to show ‘explicit and accurate explanations’. ‘explicit and accurate explanations’.

So, they will want you to consider the So, they will want you to consider the SIGNIFICANCE of this relationship. Is it or is it SIGNIFICANCE of this relationship. Is it or is it not a major influence on total tax revenue?not a major influence on total tax revenue?

Use the numbers they will give you to Use the numbers they will give you to SUPPORT your analysis. There might also be SUPPORT your analysis. There might also be quotes you can use from Case Study to quotes you can use from Case Study to SUPPORT your findings.SUPPORT your findings.

Question (c)Question (c)

Then it’s HOW that needs careful Then it’s HOW that needs careful consideration.consideration.

Will higher taxes have an adverse affect on Will higher taxes have an adverse affect on labour market incentives? If so WHY, labour market incentives? If so WHY, HOW, etc.HOW, etc.

Will higher taxes impact on the amount of Will higher taxes impact on the amount of hours worked = supply and so a DIAGRAM hours worked = supply and so a DIAGRAM could be included – backward bending could be included – backward bending supply curve of laboursupply curve of labour

Question (c)Question (c)

Laffer Curve, are your findings the same for Laffer Curve, are your findings the same for EACH part of the LABOUR MARKET – all of EACH part of the LABOUR MARKET – all of these will add value to your answer. these will add value to your answer. ELASTICITY is a concept that pops up in ELASTICITY is a concept that pops up in most questions.most questions.

Always ask if your analysis needs BOTH a Always ask if your analysis needs BOTH a macro and a micro inclusion – again this macro and a micro inclusion – again this tends to add value. The MULIPLIER is tends to add value. The MULIPLIER is another favourite in A2 answers.another favourite in A2 answers.

Question (c)Question (c)

Your conclusion will return to your opinion as Your conclusion will return to your opinion as to the MAGNITUDE/SIGNIFICANCE of the to the MAGNITUDE/SIGNIFICANCE of the relationship they have asked you to analyse. relationship they have asked you to analyse. Be bold, say ‘I think that …. etc.’Be bold, say ‘I think that …. etc.’

It’s a HIGH ORDER question but not one to It’s a HIGH ORDER question but not one to spend too much time on.spend too much time on.

Probably 2 marks for explanation, 2 marks for Probably 2 marks for explanation, 2 marks for relevant diagrams and then the balance relevant diagrams and then the balance depends on how well you support your use of depends on how well you support your use of theory to explain the nature of the relationship.theory to explain the nature of the relationship.

Question (c)Question (c)

Now, these last questions tend to be high Now, these last questions tend to be high markers. In this example I am assuming markers. In this example I am assuming 30 marks will be available.30 marks will be available.

They will want you to use TWO ways of They will want you to use TWO ways of developing your answer. These are: the developing your answer. These are: the data/information they have given you and data/information they have given you and YOUR economic knowledge.YOUR economic knowledge.

You MUST evaluate, else your ceiling in You MUST evaluate, else your ceiling in 2/3 of marks available.2/3 of marks available.

Question (d) – Evaluate the opinion that the Question (d) – Evaluate the opinion that the benefits resulting from a more even distribution benefits resulting from a more even distribution

of income outweigh the costsof income outweigh the costs

So, it’s YOUR opinion based on data/theory.So, it’s YOUR opinion based on data/theory.

What are the benefits?What are the benefits? – – fairness, social fairness, social cohesion, better access to services such as cohesion, better access to services such as healthhealth

What are the costs?What are the costs? – – disincentives, why disincentives, why work, gap between progressive tax rates and work, gap between progressive tax rates and benefitsbenefits

So, WHAT direction will you take?So, WHAT direction will you take?

Question (d)Question (d)

If you have any examples, numbers, etc. use If you have any examples, numbers, etc. use them = add value. Look for quotes and them = add value. Look for quotes and number from Case Study = adds value.number from Case Study = adds value.

Stick to TWO or THREE valid observations Stick to TWO or THREE valid observations (that are based on economic theory) and (that are based on economic theory) and develop these.develop these.

Possible inclusions – is fairness a ‘nice’ idea Possible inclusions – is fairness a ‘nice’ idea or will disincentives arise? Say HOW such or will disincentives arise? Say HOW such disincentives might have an adverse affect on disincentives might have an adverse affect on the macro economy.the macro economy.

Question (d)Question (d)

Think MACRO objectives – Think MACRO objectives – how might this how might this scenario impact on growth, employment?scenario impact on growth, employment?

Always think MARKET FAILURES – Always think MARKET FAILURES – how how have these arisen and what can be done?have these arisen and what can be done?

Is GOVERNMENT FAILURE part of this topic Is GOVERNMENT FAILURE part of this topic and how will affect your opinionand how will affect your opinion

Form an opinion – Form an opinion – yes you agree with the yes you agree with the opinion BECAUSE, BECAUSE and usually a opinion BECAUSE, BECAUSE and usually a BUT or HOWEVER = balanced evaluationBUT or HOWEVER = balanced evaluation

Question (d)Question (d)

Remember – you must SUPPORT your Remember – you must SUPPORT your opinion with BOTH data and economic opinion with BOTH data and economic theory/knowledge.theory/knowledge.

A little trick: think – What has happened and A little trick: think – What has happened and why and what would I do about it and why?why and what would I do about it and why?

Timing, presentation, diagrams, etc.Timing, presentation, diagrams, etc.

This tends to decide your grade outcome. This tends to decide your grade outcome.

Any questions?Any questions?