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How Iranian rial value loss has affected economy
Ben Christopher
4th October 2012
Great BBC video here looking at some of the concepts already covered thus far in the year 11 GCSE course. After watching the video pupils could attempt the comprehension questions below.
- Economic sanctions have affected supply of many goods. Illusttrate using demand and supply analysis, what has happened to the price of meat in Iran (which factor in the mneumonic PINTSWC best describes this shift?) (5)
- What is the approximate dollar/rial exchange rate? (2)
- The report says domestic firms face higher costs. If firms pass on their higher costs in the form of higher prices to protect their profits, what name do we give to this type of inflation? (2)
- Explain two other costs of inflation. (4)
- Are sanctions only to blame for Iran's economic woes? What other reasons are given in the report? (3)
- A commentator says that there will be unemployment and inflation. If this is sustained, what is the special name given to this situation? (2)
HT to Mr Wickham for the link.