Use the results of your calculations to support your 10-mark evaluation in the final section.
PED=%Δ Quantity Demanded (Qd)%Δ Price (P)PED equals the fraction with numerator % cap delta Quantity Demanded (Qd) and denominator % cap delta Price (P) end-fraction
XED=%ΔQdx%ΔPyXED equals the fraction with numerator % cap delta cap Q sub d x end-sub and denominator % cap delta cap P sub y end-fraction Identifies relationships between two goods. Key Ranges: (Substitutes), (Complements), (Unrelated). Income Elasticity of Demand (YED) ib economics hl formula booklet repack
This is the final frontier of HL math, often causing the most confusion regarding currency valuation.
Always negative due to the law of demand (ignore the sign for interpretation). Key Ranges: (Elastic), (Inelastic), (Unit Elastic). Cross-Price Elasticity of Demand (XED) Use the results of your calculations to support
In your repack, add a specific line for the Equilibrium level of income (Y) involving the 45-degree line: Y = C + I + G + (X – M) . Then expand C to a + bYd (where a = autonomous consumption, b = MPC, Yd = disposable income).
Pay close attention to currency units and the number of decimal places requested (usually two). Income Elasticity of Demand (YED) This is the
One of the most powerful concepts in the HL macroeconomics syllabus is the multiplier effect:
Real GDP=Nominal GDPGDP Deflator×100Real GDP equals the fraction with numerator Nominal GDP and denominator GDP Deflator end-fraction cross 100 2. Inflation and Unemployment
I’ve grouped them by syllabus section.
Gini Coefficient and the construction of the Lorenz Curve. Critical HL Additions IB Economics HL Formula Booklet | PDF - Scribd