Level 3 Economics UE Approved

This subject is a University Approved subject.

Level 3 Economics

Use economics to analyse how markets really work — and what happens when they don’t.

At Level 3, Economics takes you deeper into how businesses, consumers, and governments interact. You’ll explore what happens when markets succeed or fail, and how government policies are used to fix real problems in society.

This course is ideal for students who enjoy thinking logically, arguing both sides of an issue, and backing up ideas with models and data.

Internal – Microeconomic Concepts

AS91401 | 5 credits | Internal

You’ll explore the choices individuals and businesses make, and how limited resources affect those choices. This is the foundation of all economic reasoning.

You’ll:

• Analyse decisions using marginal cost and benefit models

• Explain consumer and producer behaviour

• Apply models like PPCs and marginal utility to real situations

This gives you the tools to understand why people and firms make the decisions they do.

Internal – Government Intervention

AS91402 | 5 credits | Internal

Sometimes, the market doesn’t work — or works unfairly. You’ll examine what happens when governments step in to fix issues like pollution, housing shortages, or income inequality.

You’ll:

• Identify types of market failure

• Analyse how taxes, subsidies, regulations, and public goods work

• Evaluate the efficiency and fairness of government policies

This standard connects directly to public policy, law, social justice, and real-world debates.

External – Market Efficiency

AS91399 | 4 credits | External

You’ll learn how markets reach equilibrium — and what makes that equilibrium efficient. Using graphs and economic models, you’ll explore how resources are allocated and what causes changes.

You’ll:

• Use demand and supply curves with consumer/producer surplus

• Evaluate the effects of shifts in supply or demand

• Judge how efficient or fair the outcomes are

This helps you think critically about who gains and who loses in a changing market.

External – Market Structures and Marginal Analysis

AS91400 | 4 credits | External

Not all markets are the same — some are dominated by one firm, others by many. You’ll explore perfect competition, monopolies, and oligopolies, and assess which structures are most efficient using marginal analysis.

You’ll:

• Use marginal cost and marginal revenue to find profit-maximising output

• Compare the outcomes of different market types

• Analyse trade-offs between efficiency, innovation, and fairness

This gives you insight into how real markets operate — from supermarkets to phone providers to global tech giants.

Where does this lead to?

Level 3 Economics sets you up for:

• Tertiary study in Economics, Business, Law, Policy, Finance

• Careers in government, central banking, consultancy, and research

• Competitive advantage in business, entrepreneurship, or management

Economics teaches you how to think, not what to think — making you valuable in any future path.