Energy Price Cap: Good politics but bad economics?

This is a big story in the run up to the 2017 General Election. The Conservatives (traditionally a less interventionist, free market party) are proposing to impose a price cap to address ‘rip-off’ energy prices.

Consider these issues:

  • Why is this being proposed?
  • How would it work?
  • Will the policy achieve its aims or is it just another example of short-sighted politics getting in the way of markets?
  • Are there any other ways of achieving a more efficient outcome in the market?
  • Can behavioural theory help us understand the issues and what can be done?

ripoffenergy

Tory’s plan energy price cap

How will price caps work?

Isn’t this Labour’s idea?

Audio clip: Could a price cap stifle competition?

Past Papers

As your syllabus is new, there aren’t any past papers to work with. However, the previous syllabus is still very relevant and the questions in Unit 3 are well worth using. While the way you are assessed has changed a little, what you are assessed on hasn’t changed a great deal.

http://www.aqa.org.uk/subjects/economics/as-and-a-level/economics-2140/past-papers-and-mark-schemes

Please hand in any essays you write so I can mark them and give you feedback over the final weeks of th course.

Investigating Inequality: Project Brief

Your task over the next two weeks is to create a high quality blog about inequality and poverty.

This Project Brief sets out clearly what is expected. This Assessment rubric will give you further clarity about success criteria for your project.

Remember, part of the challenge of this work comes with managing your time and your team. The deadline is Weds 29th March.

Good luck!

UPDATE

Thank you for your fantastic work on this project. Your blogs are excellent and can be seen below. Please take some time to look at each other’s work.

https://economicequality.wordpress.com

https://inequalitybacklash.wordpress.com

https://economnicks.wordpress.com