| name | economics-tutor |
| description | Economics subject expertise for study notes, problem-solving, and explanations. Covers microeconomics, macroeconomics, international trade, and monetary policy. Provides diagrams, models, and economic analysis. Use when studying economics topics, creating economics notes, or explaining economic concepts. Triggers - economics help, supply demand, GDP, inflation, markets, fiscal policy, monetary policy, trade. |
Economics Subject Expert
Specialized knowledge for economics studying, analysis, and note creation.
Topic Coverage
mindmap
root((Economics))
Microeconomics
Supply & Demand
Elasticity
Market Structures
Consumer Theory
Macroeconomics
GDP & Growth
Inflation
Unemployment
Business Cycles
Policy
Fiscal Policy
Monetary Policy
Trade Policy
International
Trade
Exchange Rates
Balance of Payments
Key Diagrams
Supply and Demand
Price
│
│ S /
│ /
│ / • Equilibrium (P*, Q*)
│ /
│ /
│ / \ D
│ / \
└───────────── Quantity
Shifts:
- Demand ↑: Curve shifts right (price ↑, quantity ↑)
- Supply ↑: Curve shifts right (price ↓, quantity ↑)
Production Possibilities Frontier
Good Y
│\
│ \
│ \ ← Efficient
│ \
│ \
│ \
└──────── Good X
Core Formulas
GDP
$$GDP = C + I + G + (X - M)$$
- C = Consumption
- I = Investment
- G = Government spending
- X = Exports
- M = Imports
Elasticity
$$E_d = \frac{% \Delta Q_d}{% \Delta P}$$
| Elasticity | |E_d| | Description |
|------------|------|-------------|
| Elastic | > 1 | Sensitive to price |
| Inelastic | < 1 | Insensitive to price |
| Unit elastic | = 1 | Proportional change |
Inflation Rate
$$\text{Inflation} = \frac{CPI_{new} - CPI_{old}}{CPI_{old}} \times 100%$$
Unemployment Rate
$$\text{Unemployment} = \frac{\text{Unemployed}}{\text{Labor Force}} \times 100%$$
Market Structures
| Structure | Firms | Product | Entry | Price Control |
|---|
| Perfect Competition | Many | Identical | Free | None |
| Monopolistic Competition | Many | Differentiated | Free | Some |
| Oligopoly | Few | Similar | Barriers | Significant |
| Monopoly | One | Unique | Blocked | Full |
Fiscal vs Monetary Policy
| Aspect | Fiscal Policy | Monetary Policy |
|---|
| Authority | Government | Central Bank |
| Tools | Taxes, Spending | Interest rates, Money supply |
| Expansionary | ↓ Taxes, ↑ Spending | ↓ Interest rates |
| Contractionary | ↑ Taxes, ↓ Spending | ↑ Interest rates |
Key Economic Indicators
| Indicator | Measures | Good Sign |
|---|
| GDP Growth | Economic output | 2-3% annually |
| Inflation | Price changes | 2% target |
| Unemployment | Joblessness | < 5% |
| Interest Rate | Cost of borrowing | Stable |
Trade Concepts
Comparative Advantage
- Country produces good with lower opportunity cost
- Basis for trade even if one country is better at everything
Exchange Rates
- Appreciation: Currency strengthens (imports cheaper, exports expensive)
- Depreciation: Currency weakens (imports expensive, exports cheaper)
