IB DP Economics HL, Y1 / IB DP Economics SL, Y1 / Microeconomics 30

The study of economics is essentially about the concept of scarcity and the problem of resource allocation. In other words, it is the study of how individuals and societies make choices. Although economics involves the formulation of theory, it is not a purely theoretical subject; economic theories can be applied to real-world examples. It does not exist in a vacuum because it must naturally consider how economic theory is to be applied in an international context. Neither is economics a discrete subject since economics incorporates elements of history, geography, psychology, sociology, political studies and many other related fields of study.

The scientific approach characterizes the standard methodology of economics. The methodology can be summarized as a progression from problem identification through hypothesis formulation and testing to finally arrive at a conclusion. Alongside the empirical observations of positive economics, students are asked to formulate normative questions.

Encouraging students to explore such questions forms the central focus of the economics course. By the end of this course, students will have an understanding and knowledge of economic concepts and theories; apply economic theory to a range of circumstances and a variety of situations toward developing a critical understanding of the economic world in which they live; analyze information through the use of economic concepts and theories; evaluate concepts and theories from different economic perspectives; and develop a better understanding of internationalism

Two units of inquiry frame the course content: (1) Introduction to Economics, and (2) Microeconomics. Mostly, these units follow a structure typical of microeconomics courses. The goal here is to set the framework for economic models and to understand the concepts of model building in economics and what “economics as a social science” means. This is the essential groundwork for students to undertake more complex analyses. Towards the end of the course, the focus will be more on the issues that economists try to resolve, and with the added focus on the Economics of the Environment, the goal is to understand global issues and how these problems can be addressed by using an economics lens. The goal is to help students understand the challenges facing our world and how economics can be used to help solve these problems.