Friday 4 May 2012

ADD-Value -for A level


Ways of achieving added value
Building a brand – a reputation for quality, value etc that customers are prepared to pay for.  Nike trainers sell for much more than Hi-tec, even though the production costs per pair are probably pretty similar!
Delivering excellent service  – high quality, attentive personal service can make the difference between achieving a high price or a medium one
Product features and benefits  – for example, additional functionality in different versions of software can enable a software seller to charge higher prices; different models of motor vehicles are designed to achieve the same effect.
Offering convenience  – customers will often pay a little more for a product that they can have straightaway, or which saves them time.

Monday 23 April 2012

FACTORS OF PRODUCTION for 8C & 8D

Dear 8C & 8D students,
watch the following links.
http://www.youtube.com/watch?v=hG9PQHD5ROA

http://www.youtube.com/watch?NR=1&feature=endscreen&v=Q7KlMb4U0IA


Take a print of the following notes & past it in your note book:


Factors of Production

Anything which contributes to production is called a factor of production.
Land, Labour, capital, and entrepreneurship used by society to produce consumer satisfying goods and services are termed as factors of production, they  are also known as resources or scarce resources.
  • Land
            In economics land refers to all kinds of natural resources that are freely found
            in  nature ,which are limited in supply ,which can be controlled by man  and
            used in the production of goods. Reward for land is rent.

  • Labour can be defined as any mental or physical effort  (excluding entrepreneurial organization) which contributes to the production of goods and services for which it receives income. Reward for labour is wages / salaries

  • Capital refers to that part of wealth which is used along with labour for producing additional wealth .Reward for capital is interest.

  • Entrepreneurship is the special sort of human effort that takes on the risk of bringing labour, capital, and land together to produce goods. or services in the expectation of a future reward. That reward is called profit in economics.
Functions of an entrepreneur
¨      Management and control
¨      Risk and uncertainty bearing
¨      Innovation

Factor Income

bd14793_   Rent
It is the factor payments to the owners of land for using the various resources of land in the production of goods and services
bd14793_   Wages
A factor payment to the owner of labour for using labour services in the production of goods and services

bd14793_   Interest
It is the payments for the use of borrowed funds or the price paid for the use of loanable funds’
bd14793_   Profit
Profit refers to a reward enjoyed by an entrepreneur for his entrepreneurship or for his contribution to the process of production. It is a reward for bearing of risks and uncertainties and introducing innovations

Wednesday 4 April 2012

Case Study - Basic Eco problems


Dear VIII-B students, 
Take a print of the case study & solve it. I am going to check on MONDAY.  


A GERMAN TRAVEL COMPANY CONSIDERS ITS FUTURE

A German travel company decides to stop selling holidays in Italy and instead to offer holidays in a new destination. This is the Maldives, a group of island in the Indian Ocean, famous for their long hours of sunshine and sandy beaches.
Tourism is a fast growing industry. Not all families, however, are able to go on holidays whether at  home or abroad. Most of those who take holidays would like to have more holiday breaks.
a.       What evidence is there in the passage of scarcity?(3)
b.      Using examples identify three factors of production involved in providing holidays in the Maldives?(6)
c.       (i) Explain the difference between economic goods & free goods.(4)
(ii) Identify a free goods from the passage.(1)

Solve the project - HDI


Dear Student of grade 10 D & F
Take a print & solve the project
Assignment One
Microeconomics of Development


In this assignment you will have the firsthand experience is calculating the HDI for 100 countries. This would give you a better sense of the level of development in these countries and enable you to understand the role of education, health and income in economic development.
To get started

  1. Go to http://hdr.undp.org/en/statistics/data/

  1. Download the variables needed to calculate the HDI for 100 countries of your choice. Make sure your sample has at least 30 countries from each of the high, medium and low human developed countries. Download the GDP per capita (PPP) variable for these countries.

Is the HDI an improvement over the GDP per capita as indicator of development? Please answer in light of the following:

1.      Calculate the HDI for your selected sample. Compare with the HDI estimate provided by the UNDP.

2.      Compare ranking of countries by the HDI and by the GDP per capita (PPP) for your sample. [Sort countries from lowest to highest HDI values and GDP/N values]


3.      Do you see any automatic link between a nation’s per capita income and its level of human development?

Friday 30 March 2012

Home work for 9E students ( Public Sector Finance)


Dear, 9E students,
Solve the following as home work which i am going to check in my next class!!!!


EXERCISE-1  Page: 269   CURRENT or CAPITAL


Look at the jumble of goods and services provided or paid for by public expenditure. They relate to the provision of a Public health service and public, or state,education



Nurses’ wages                                    Labaratories                                   Swimming pool
Uniforms                                             beds                                               Sports equipment
X-ray equipment                                 Pens                                                Photocopy paper
Medicines                                            computers                                     Teachers’ salaries
Heating                                                exercise books                               knives
Electric Power                                     New   School buildings                 Ambulances
Heart Monitors                                    Kidney Machines                           New Hospital
Breathing equipment                           Bandages


1.  Rearrange the jumble into two lists: (a) those goods and services you think would be needed to provide health service and (b) those you would expect are required to run a school and teach students. Some items may appear in both your lists


2. Now for each list identify those items or services that will be paid for by current expenditure and those that will be classified as capital expenditure.

Wednesday 28 March 2012

Opportunity Cost : Video link

Dear Students of Grade 8B & 8D,
Watch this video twice care fully & write a report on your understanding about the topic.
here is the link:
http://www.youtube.com/watch?feature=player_detailpage&v=ci7uwsuMH-c

Friday 23 March 2012

Practice Questions for Grade 10


Dear 10 grade Students,
According to the information given to you here are 2 practice questions for you!!
I will check on Monday
Q. It was reported that in a country the poorest households spent 30% of their income on food while the richest households spent 13% of food.

(a) Do these figures mean that the actual amount that the richest households spent on food is lower than that spent by the poorest households? Explain your answer. [4]
(b) Ali has started his first job. Faizal is now in a senior position in her company. Describe how the expenditure pattern of these two people might be different. [4]

Requirement for Class Activity - for Grade 8

Dear 8th Grade Students,
We are going to have a class activity on "Needs & Wants" on Monday(8B) / Tuesday(8D).
Here is the home assignment for you all for the same!!!!
Complete it & come.

Activities
1 People often want (or value) things they don't possess. Make a 'wish list' of ten things you would like to have. Beside each item mark whether you think each one is a need or a want.

2 Imagine you were going to spend three months camping on a tropical island with no services and were allowed to take ten items with you. List the ten items.

3 Extra activity (Homework) If you have a part-time job or receive pocket money explain how you prioritise the ways in which you will or would like to spend the money. List the ways in which you spend your money (or intend to spend it) and state whether that expenditure is for a need or a want.

Monday 19 March 2012


Dear 10 Grade students,
Solve this Case Study & submit it on Thursday (22/03/2012)
1 Workers in Sri Lanka
More people are being employed in Sri Lanka’s service sector. A number of skilled workers are, for instance, employed in the country’s banking industry. The manufacturing sector is also growing in importance. For example, the country’s clothing industry employs more than a quarter of a million workers out of a labour force of eight million people. Most of the workers in the clothing industry are young women, some of whom are relatively unskilled. In recent years, the industry has employed more capital goods, which has raised fixed costs as a proportion of total costs. The rise in investment has unsettled the industry and caused workers to become more concerned about their job security. Wage rates in the industry are low although bonuses increase the amount clothing workers can earn.

The largest clothing company in Sri Lanka is Brandix Lanka Limited. It uses its resources to produce both clothes and clothing accessories such as hangers. It sells its products to clothes shops in the European Union and in the United States of America. Brandix Lanka provides its workers with good medical facilities, as do many other clothing firms.

Sri Lankan workers and trade unions are pressing for wage rises for clothing workers. However, Brandix Lanka and the other clothing firms are concerned that higher wages may reduce their competitiveness against clothing firms in other countries, including Bangladesh, where wages are lower. The firms claim that increasing the wage they pay may cause unemployment and inflation.

In 2010 there were half a million unemployed workers in Sri Lanka and its inflation rate was 5.9%. Receiving higher wages might influence clothing workers in a number of ways. It might cause them to reduce the large amount of overtime they work. It may reduce the gap between their pay and the pay of bankers who, on average, are older than clothing workers. In addition, it might change their spending and saving patterns. Table 1 shows the income per head and the average amount saved per head in Sri Lanka from 2005 to 2010.

             Table 1: Gross Domestic Product (GDP) per head and the average amount saved 
             per head in Sri Lanka 2005 – 2010

Year               GDP per head (US$)                Amount saved per head (US$)
2005                       4300                                                     777
2006                       4700                                                     799
2007                       4000                                                     704
2008                       4300                                                     598
2009                       4500                                                     810
2010                       5000                                                     855


(a) What is meant by ‘fixed cost’? [2]
(b) Using a production possibility curve, explain how Brandix Lanka may allocate its resources
between clothes and clothing accessories. [5]
(c) Using Table 1, comment on whether economists would expect to see the relationship shown
between the changes in GDP per head and amount saved per head. [3]
(d) Using information from the extract, identify three reasons why someone may choose to work
for a clothing firm despite the low wage. [3]
(e) Using information from the extract, calculate Sri Lanka’s unemployment rate in 2010. [2]
(f) Discuss whether trade unions increase unemployment. [5]
(g) Using information from the extract, explain two reasons why clothing workers are paid less
than bankers. [4]
(h) Discuss whether an increase in wages paid to clothing workers will cause inflation. [6]

IMPORTANT NOTICE FOR IGCSE X GRADERS

Dear Students,
Tomorrow you have to carry your P2 final exam paper which i am going to discuss in the class!!!!
All the best for new acedemic year!!!!

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