Unit 2.4: Consumer and producer behaviour
This page provides a map of the various assessments included in the unit, including short answers responses, essays and areas for discussion. I have included a section A and section B blank essay template which will help your classes prepare their paper one essay responses.
The assumption of rational economic decision making - consumer rationality, utility maximisation and perfect information
Graphing exercise: Plot a graph which records the level of marginal utility enjoyed an individual: Utility
Homework essay: Are humans rational in their consumption habits? Activity 6 on page: Unit 2.4: Consumer and producer behaviour
Biases - rule of thumb, anchoring and framing, availability, bounded rationality, bounded self-control (HL only)
|Activities 1-3 on page: Behavioural economics: Consumer biases / nudge theory (HL only) PED elasticity and sales revenue?|
Behavioural economics in action (HL only)
Choice architecture - default, restricted, and mandated choices, nudge theory (HL only)
|Homework essay: Are humans rational in their consumption habits? Activity 6 on page: Unit 2.4: Consumer and producer behaviour|
Business objectives (HL only)
Profit maximization, alternative business objectives, corporate social responsibility, market share, satisficing and growth.
Paper one essay style question and short response activities in Business objectives (HL only)
Blank essay template available at: Section A essay template