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Hi, I have a question about paper 1 that I would like to ask you guys about.

So... how do I use real world examples for Macroeconomics?

I find it pretty difficult to use real world examples for many topics in macroeconomics because we can't talk about a single product or a market, but we must look at the entire economy in general. For example, I think its pretty hard to think of an example to answer a question like "Explain the reasoning behind the shapes of the short-run aggregate supply (SRAS) curve and the long-run aggregate supply (LRAS) curve". What would you guys suggest?

I am struggling hard because I dont have a teacher and my exams are coming up in a month. Please help!

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Hey there,

So integration of examples is pretty straightforward. Simplest way I can explain it is to use the example to  explain theory. EG: China has invested in robots, which is expected to exceed 30bn$ by 2020. This means that the FOPs have gotten more efficient, yadayada.

Or another way:

Venezuela in 2016 had over 100% inflation. This leads to costs like Shoe leather costs and menu costs yadayada.


Hope this helps!

Best of luck with your exams

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