IB Economics IA: 60 Examples and Guidance (2025)

The International Baccalaureate (IB) program offers a variety of assessments for students, including Internal Assessments (IAs), which are pieces of coursework marked by students’ teachers. The Economics Internal Assessment (IA) is an essential component of the course and accounts for 20% of the final grade for Higher Level students and 30% for Standard Level students. In this article, we will cover everything you need to know about the IB Economics IA, including the requirements, the evaluation criteria, and some tips for success.

What is the Economics IA?

The Economics IA is made up of three separate 750-word commentaries, each based on a different area of the syllabus: microeconomics, macroeconomics, and either international trade or development economics. They should analyse real-world news stories using concepts from the Economics course. This is true for both Higher and Standard Level.

What should the IA be about?

Top IB Economics tutors note that when choosing a topic for their IA, students should keep in mind that the investigation should be related to the content of the IB Economics course. It should also be practical, feasible, and of sufficient complexity to demonstrate their understanding of the subject matter.

Have a look at our comprehensive set of IB Economics SL and IB Economics HL resources, developed by expert IB teachers and examiners:

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📚 View IB Economics SL Past Papers
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What are some example research questions?

Our senior IB tutors have compiled a few examples of potential research questions which could inspire your Economics IA. Remember that are many more options available, based on the syllabus, so pick the topic you are most interested in and think you can score the highest analysing.

1 - Investigating the relationship between government expenditure and economic growth in a specific country.

This study delves into how variations in government spending influence a nation’s economic growth, with a focus on specific fiscal policies and their outcomes. It evaluates how targeted public expenditures contribute to GDP growth and the broader implications for economic stability.

• Analyse the impact of specific government spending categories (e.g., infrastructure, healthcare).
• Compare economic growth before and after significant fiscal policy changes.
• Use real GDP data and government expenditure trends for your analysis.


2 - How does a change in interest rates affect consumer spending and saving behavior?

This investigation examines how shifts in interest rates influence individual and household financial decisions. The focus is on the interplay between borrowing, saving, and spending, particularly in periods of monetary policy adjustments.

• Explore short-term and long-term changes in saving and spending trends.
• Use economic models like the marginal propensity to consume (MPC).
• Incorporate data from central banks and consumer surveys.


3 - Can the relationship between unemployment and inflation be explained using the Phillips curve?

This exploration assesses the validity of the Phillips curve in explaining the trade-off between inflation and unemployment. It examines whether this relationship holds true in modern economies or varies under different circumstances.

• Examine historical data for inflation and unemployment rates.
• Evaluate whether the Phillips curve is influenced by supply-side shocks.
• Consider critiques and alternative theories challenging its applicability.


4 - Investigating the effect of a minimum wage increase on employment levels in a specific industry.

This inquiry analyses how raising the minimum wage impacts employment within a targeted industry. It explores the balance between potential benefits for workers and possible challenges for employers.

• Focus on industries with high proportions of minimum wage workers (e.g., retail, hospitality).
• Compare employment trends before and after wage increases.
• Assess whether the elasticity of labour demand influences outcomes.


5 - How does a change in exchange rates affect the trade balance of a specific country?

This analysis investigates how fluctuations in exchange rates impact a country’s imports, exports, and overall trade balance. It evaluates whether currency depreciation or appreciation creates a significant economic shift.

• Use specific trade data for imports and exports during exchange rate fluctuations.
• Analyse the Marshall-Lerner condition’s role in trade balance adjustments.
• Evaluate industries most affected by currency movements (e.g., manufacturing, agriculture).


6 - Can the relationship between income and demand for luxury goods be explained using Engel's law?

This investigation focuses on the applicability of Engel's law to luxury goods, exploring how changes in income influence consumer demand for high-end products. The study evaluates income elasticity for luxury goods and its implications for producers and market dynamics.

• Analyse income elasticity of demand for specific luxury goods (e.g., designer clothing, high-end electronics).
• Use data from different income groups to assess varying demand patterns.
• Compare demand trends in emerging and developed economies.


7 - Investigating the impact of government subsidies on the production and consumption of renewable energy sources.

This study examines how government subsidies shape the renewable energy market, influencing both production levels and consumer adoption. It analyses the extent to which financial incentives drive sustainable practices and economic efficiency in the energy sector.

• Evaluate the effectiveness of subsidies in lowering production costs and prices for consumers.
• Compare renewable energy output before and after subsidy implementation.
• Analyse market distortions or inefficiencies resulting from subsidies.


8 - How does a change in taxation policies affect the behavior of firms in a specific industry?

This investigation explores how shifts in taxation policies influence the strategic decisions of firms within a particular sector. It considers impacts on pricing, investment, and employment, providing insights into how firms adapt to tax changes.

• Focus on a specific tax policy change (e.g., corporate tax rate adjustments).
• Examine firms’ investment trends and profit margins post-policy change.
• Analyse employment patterns and cost-shifting strategies.


9 - Can the impact of externalities on market equilibrium be explained using the concept of marginal social cost and marginal social benefit?

This exploration evaluates how externalities affect market outcomes through the lens of marginal social costs and benefits. It highlights the inefficiencies that arise when external costs or benefits are not internalised by the market.

• Investigate specific examples of positive and negative externalities (e.g., education, pollution).
• Use diagrams to illustrate shifts in market equilibrium due to externalities.
• Propose potential government interventions to address market failures.


10 - Investigating the effect of globalization on income inequality in a specific country.

This study analyses how globalisation influences income distribution within a selected country, focusing on its effects across different socio-economic groups. It considers factors such as trade, foreign investment, and labour market changes.

• Examine income inequality trends before and after major globalisation milestones.
• Use Gini coefficient data to quantify changes in income distribution.
• Assess the role of trade agreements and foreign direct investment in shaping inequality.


11 - How does a change in the level of government debt affect the level of economic growth in a specific country?

This investigation analyses the relationship between government debt levels and economic growth, focusing on the short-term and long-term implications. It evaluates how fiscal sustainability, borrowing, and debt servicing costs influence GDP growth and economic stability.

• Compare periods of high and low government debt with corresponding GDP growth rates.
• Examine the role of debt-financed public spending in driving or hindering growth.
• Analyse data on debt-to-GDP ratios and interest rates to identify trends.


12 - Can the impact of market failure on social welfare be explained using the concept of Pareto efficiency?

This study explores the link between market failures and their impact on social welfare, using Pareto efficiency as a framework. It investigates situations where resources are misallocated and evaluates the implications for economic equity and efficiency.

• Assess examples of market failure, such as externalities or information asymmetry.
• Use diagrams to illustrate Pareto improvements or inefficiencies.
• Investigate potential government interventions to correct market failures.


13 - Investigating the impact of price ceilings and price floors on market equilibrium and consumer surplus.

This analysis examines how price controls, such as ceilings and floors, disrupt market equilibrium and alter consumer and producer surplus. It evaluates the intended benefits and unintended consequences of such policies on different stakeholders.

• Use diagrams to show changes in equilibrium due to price controls.
• Compare the effects of price ceilings and floors in specific industries (e.g., housing, agriculture).
• Analyse data on surplus shifts and market shortages or surpluses.


14 - How does a change in the level of competition affect the behavior of firms in a specific industry?

This investigation explores how varying levels of competition influence firm behaviour, including pricing strategies, innovation, and market structure. It examines the responses of firms in both monopolistic and competitive markets.

• Evaluate case studies of industries with increased or reduced competition.
• Analyse changes in profit margins, pricing, and market share.
• Explore the role of regulatory policies in fostering or limiting competition.


15 - Can the impact of public goods on market equilibrium be explained using the concept of free riding?

This study investigates how the provision of public goods leads to inefficiencies in market equilibrium, focusing on the problem of free riding. It analyses how public and private sector roles affect the allocation of resources for public goods.

• Examine examples of public goods (e.g., national defence, public parks) and their funding mechanisms.
• Use diagrams to illustrate the effects of non-excludability and non-rivalry on market equilibrium.
• Explore policy measures to reduce free riding and improve efficiency.


16 - Investigating the impact of trade barriers on the level of international trade in a specific industry.

This investigation analyses how trade barriers, such as tariffs, quotas, or import bans, affect the flow of goods and services in a specific industry. It examines the broader implications for global trade volumes, domestic producers, and consumers.

• Analyse changes in import and export levels after the introduction of trade barriers.
• Evaluate the impact on domestic producers’ competitiveness and consumer prices.
• Use specific industry examples to highlight short-term and long-term effects.


17 - How does a change in consumer tastes and preferences affect the demand for goods and services in a specific industry?

This study explores how shifts in consumer preferences influence the demand for goods or services within a particular industry. It focuses on the dynamic nature of consumer behaviour and its impact on market trends and business strategies.

• Assess the role of advertising and social trends in shaping consumer preferences.
• Analyse changes in demand using real-world data (e.g., fashion, technology industries).
• Examine how firms adapt their production or marketing strategies to shifting demand.


18 - Can the relationship between income and demand for inferior goods be explained using Giffen's paradox?

This investigation evaluates the relationship between income levels and the demand for inferior goods, focusing on Giffen's paradox. It examines situations where rising prices lead to increased demand due to income and substitution effects.

• Use examples of potential Giffen goods (e.g., staple foods like rice or bread).
• Analyse income and price elasticity data to assess demand patterns.
• Explore the conditions under which Giffen's paradox might occur.


19 - Investigating the impact of anti-trust laws on market structure and consumer welfare in a specific industry.

This study examines how anti-trust laws influence market structures, focusing on their ability to prevent monopolistic practices and promote consumer welfare. It evaluates the effectiveness of these regulations in fostering competition.

• Investigate specific anti-trust cases and their outcomes in the chosen industry.
• Analyse changes in market concentration and pricing strategies post-regulation.
• Evaluate the role of anti-trust policies in protecting consumer interests.


20 - How does a change in the level of economic growth affect income distribution in a specific country?

This analysis investigates the relationship between economic growth and income distribution, focusing on how growth affects disparities among socio-economic groups. It considers both the benefits and challenges of economic expansion.

• Use measures such as the Gini coefficient to evaluate changes in income inequality.
• Compare income distribution trends during periods of rapid growth and stagnation.
• Analyse the role of government policies in mitigating inequality during economic growth.


21 - Can the impact of transaction costs on market efficiency be explained using the concept of market friction?

This study explores how transaction costs, such as fees, time delays, or information asymmetry, influence market efficiency. It examines how these frictions create barriers to optimal resource allocation and the extent to which they distort equilibrium outcomes.

• Analyse examples of high transaction costs in specific markets (e.g., real estate or financial markets).
• Use diagrams to illustrate the effect of frictions on market efficiency.
• Evaluate methods to reduce transaction costs, such as technological advancements or policy interventions.


22 - Investigating the impact of environmental regulations on the behavior of firms in a specific industry.

This investigation analyses how environmental regulations influence firms' production processes, costs, and innovation within a specific industry. It evaluates the trade-off between environmental protection and economic competitiveness.

• Examine the financial implications of compliance with regulations (e.g., carbon taxes or pollution limits).
• Assess how regulations drive technological innovation or shifts in production methods.
• Use data from industries such as energy, manufacturing, or agriculture to demonstrate trends.


23 - How does a change in the level of interest rates affect the behavior of savers and borrowers in a specific country?

This study investigates how fluctuations in interest rates influence financial decisions among savers and borrowers. It focuses on the interplay between borrowing costs, savings incentives, and overall economic activity.

• Assess changes in borrowing levels for households and businesses during interest rate shifts.
• Analyse saving patterns using data from banks and financial institutions.
• Explore the impact on investments, mortgages, and consumer loans.


24 - Can the relationship between demand and price elasticity be explained using the concept of total revenue?

This analysis evaluates the relationship between price elasticity of demand and total revenue, focusing on how elasticity determines revenue changes during price adjustments. It highlights the implications for firms' pricing strategies.

• Use diagrams to demonstrate the link between elasticity and revenue.
• Analyse examples of elastic and inelastic goods to illustrate revenue outcomes.
• Discuss how firms adjust prices to maximise total revenue based on elasticity data.


25 - Investigating the impact of a change in government spending priorities on income distribution in a specific country.

This investigation examines how shifts in government spending priorities affect income distribution, focusing on public services, welfare programmes, and infrastructure projects. It evaluates which socio-economic groups benefit or lose from these changes.

• Compare spending priorities across different sectors (e.g., healthcare, education, defence).
• Use income distribution measures, such as the Lorenz curve or Gini coefficient, to track changes.
• Assess the role of fiscal policies in addressing or exacerbating inequality.


26 - How does a change in the level of technology affect the behavior of firms in a specific industry?

This study examines how technological advancements influence firms’ operations, productivity, and competitiveness within a specific industry. It evaluates how innovation drives cost reductions, market entry, and structural shifts.

• Analyse changes in production methods or cost structures due to new technologies.
• Assess the role of technology in creating barriers to entry or reducing them.
• Use case studies to show how firms adapt to or fail to adopt technological changes.


27 - Can the impact of market power on market outcomes be explained using the concept of market concentration?

This investigation explores how market concentration, as an indicator of market power, influences pricing, output, and consumer choice. It evaluates whether higher concentration leads to inefficiencies or benefits for stakeholders.

• Examine industries with varying levels of concentration (e.g., monopolies vs. competitive markets).
• Use measures like the Herfindahl-Hirschman Index (HHI) to assess market power.
• Analyse the implications of market concentration on innovation and price elasticity.


28 - Investigating the impact of income taxes on income distribution and economic growth in a specific country.

This analysis investigates how income tax policies influence income equality and economic growth. It examines the balance between redistributive effects and potential disincentives for investment or productivity.

• Compare progressive and regressive tax systems and their impact on income inequality.
• Use GDP growth data to analyse the relationship between taxation levels and economic performance.
• Assess the role of tax revenue in funding public services and its effects on inequality.


29 - How does a change in the level of government regulations affect the behavior of firms in a specific industry?

This study analyses the effects of regulatory changes on firms’ operational strategies, compliance costs, and market structure. It evaluates the balance between achieving policy goals and maintaining competitiveness.

• Investigate examples of deregulation or increased oversight in specific industries.
• Assess how firms adapt their pricing, production, or market entry strategies to new rules.
• Examine unintended consequences, such as regulatory capture or market distortions.


30 - Can the impact of asymmetric information on market outcomes be explained using the concept of adverse selection and moral hazard?

This investigation explores how asymmetric information affects market efficiency through adverse selection and moral hazard. It examines the challenges these issues create and evaluates potential solutions to mitigate inefficiencies.

• Use examples like insurance markets or second-hand goods to highlight adverse selection.
• Explain how moral hazard arises in scenarios such as lending or health insurance.
• Discuss the effectiveness of policies like mandatory disclosure or monitoring to address information gaps.


31 - Analyzing the impact of trade policies on a country's economy and international relations.

This study explores how trade policies, such as tariffs, quotas, or trade agreements, influence a country’s economic performance and its relationships with trading partners. It evaluates the interplay between domestic economic outcomes and geopolitical considerations.

• Examine the effects of protectionist measures on domestic industries and consumers.
• Analyse data on trade volumes before and after major policy changes.
• Assess the role of trade agreements in shaping diplomatic and economic ties.


32 - Examining the relationship between inflation and unemployment in different economic systems.

This investigation evaluates how inflation and unemployment interact across various economic systems, focusing on whether the Phillips curve relationship holds in different contexts. It examines the influence of policy frameworks and structural differences.

• Compare inflation and unemployment data from capitalist, mixed, and planned economies.
• Assess how monetary and fiscal policies impact the relationship in specific systems.
• Use case studies to highlight deviations from or adherence to the Phillips curve.


33 - Investigating the effectiveness of different methods of poverty alleviation and social welfare.

This analysis explores the relative success of various poverty alleviation strategies, including direct cash transfers, subsidies, and public services. It evaluates which approaches have the most significant impact on reducing inequality and improving living standards.

• Compare the outcomes of targeted versus universal welfare programmes.
• Analyse data on poverty levels before and after policy implementation.
• Evaluate the role of international aid and non-governmental organisations in poverty reduction.


34 - Developing a model to predict the demand for a product based on consumer behavior and preferences.

This study focuses on creating a demand forecasting model by analysing consumer behaviour patterns, preferences, and market trends. It evaluates the factors that drive purchasing decisions and their implications for firms’ production strategies.

• Use demand elasticity data to identify key determinants of consumer behaviour.
• Incorporate real-world examples of consumer preferences and trends in the analysis.
• Assess the impact of external factors, such as advertising or economic conditions, on demand.


35 - Analyzing the impact of government regulations on the pharmaceutical industry and healthcare costs.

This investigation examines how government regulations influence pricing, research and development, and access to pharmaceuticals. It evaluates the balance between promoting innovation and ensuring affordability in healthcare.

• Analyse the effects of price controls or patent laws on drug availability and innovation.
• Assess healthcare cost trends in regulated versus unregulated markets.
• Examine case studies of specific regulatory changes and their outcomes in the pharmaceutical sector.


36 - Examining the relationship between labor market dynamics and income inequality.

This investigation explores how labour market factors, such as wage structures, employment rates, and job polarisation, contribute to income inequality. It analyses how changes in labour demand and supply affect income distribution within an economy.

• Assess the impact of minimum wage policies on income distribution.
• Use data to evaluate trends in wage gaps across different skill levels or sectors.
• Examine the role of automation and globalisation in altering labour market dynamics.


37 - Investigating the effectiveness of different taxation policies on reducing income inequality.

This study evaluates how various taxation systems, such as progressive, proportional, and regressive taxes, influence income inequality. It examines the trade-off between economic efficiency and equity in designing effective tax policies.

• Compare income distribution metrics, such as the Gini coefficient, across countries with different tax systems.
• Analyse the effectiveness of tax credits or exemptions in reducing inequality.
• Evaluate the economic and social implications of high-income tax rates.


38 - Developing a model to predict the outcome of a merger or acquisition based on market trends.

This investigation focuses on creating a predictive model to analyse mergers or acquisitions using industry trends, market concentration, and firm behaviour. It assesses the likelihood of success and the impact on competition.

• Use market share data to assess post-merger market concentration.
• Evaluate the potential for cost synergies and economies of scale.
• Examine historical case studies of mergers in similar industries to validate the model.


39 - Analyzing the impact of natural resources on economic development and environmental sustainability.

This study investigates how the availability and exploitation of natural resources influence economic growth while considering environmental sustainability. It evaluates the resource curse theory and sustainable development strategies.

• Assess the role of resource management policies in mitigating environmental damage.
• Compare resource-rich and resource-poor countries in terms of economic performance.
• Examine the economic and ecological trade-offs of resource extraction industries.


40 - Examining the relationship between foreign direct investment and economic growth in developing countries.

This analysis evaluates how foreign direct investment (FDI) contributes to economic growth in developing nations, focusing on factors such as technology transfer, job creation, and infrastructure development. It examines the conditions necessary for maximising FDI benefits.

• Analyse FDI inflows and GDP growth data in selected developing countries.
• Evaluate the role of government policies in attracting and utilising FDI effectively.
• Examine the impact of FDI on domestic industries and labour markets.


41 - Investigating the effectiveness of different monetary policies in controlling inflation and economic stability.

This investigation explores how monetary policies, such as interest rate adjustments, quantitative easing, and money supply management, help regulate inflation and maintain economic stability. It evaluates the tools central banks use to balance growth and price levels.

• Compare the outcomes of expansionary versus contractionary monetary policies.
• Analyse data on inflation rates before and after monetary policy interventions.
• Assess the role of central banks in stabilising economies during periods of financial turbulence.


42 - Developing a model to predict the effect of interest rates on borrowing and lending in the economy.

This study develops a predictive model to analyse the impact of changing interest rates on borrowing and lending behaviours. It evaluates how households, businesses, and financial institutions respond to monetary policy changes.

• Use historical data to establish trends in borrowing and lending during interest rate shifts.
• Incorporate factors such as income levels and credit availability into the model.
• Evaluate how changes in interest rates affect investment and consumption patterns.


43 - Analyzing the impact of globalization on the labor market and income distribution.

This analysis examines how globalisation influences employment opportunities, wage levels, and income inequality within economies. It evaluates the balance between the benefits of global integration and its challenges for workers.

• Assess the effects of outsourcing and offshoring on domestic employment.
• Analyse wage disparities across industries affected by global trade.
• Investigate the role of global supply chains in shaping labour market dynamics.


44 - Examining the relationship between education and economic growth in developing countries.

This investigation evaluates the role of education in driving economic growth, focusing on how investments in human capital contribute to productivity and long-term development. It examines the barriers to educational access and their economic implications.

• Compare economic growth rates in countries with varying education levels.
• Analyse the impact of public education spending on GDP.
• Investigate the role of vocational training and higher education in improving workforce productivity.


45 - Investigating the effectiveness of different antitrust policies on promoting competition and consumer welfare.

This study explores how antitrust policies, such as preventing monopolies and regulating mergers, promote fair competition and protect consumer interests. It evaluates the success of regulatory interventions in maintaining efficient market structures.

• Examine case studies of antitrust rulings in industries like technology or pharmaceuticals.
• Analyse the impact of reduced market concentration on pricing and innovation.
• Evaluate the role of enforcement agencies in monitoring and addressing anti-competitive behaviour.


46 - Developing a model to predict the effect of exchange rates on international trade and investment.

This study focuses on creating a model to analyse how fluctuations in exchange rates influence trade flows and foreign investments. It evaluates the responsiveness of imports, exports, and capital movements to currency appreciation or depreciation.

• Assess the role of exchange rate volatility in shaping trade balances.
• Analyse industry-specific data to evaluate trade sensitivity to currency fluctuations.
• Examine the impact of exchange rate changes on foreign direct investment (FDI) inflows and outflows.


47 - Analyzing the impact of economic sanctions on a country's economy and political relations.

This investigation examines how economic sanctions affect the targeted country’s economy, trade, and diplomatic relationships. It evaluates both the intended economic pressures and unintended consequences for global markets.

• Investigate the effects of sanctions on GDP, inflation, and unemployment in the target country.
• Assess the role of sanctions in influencing political reforms or policy changes.
• Analyse the ripple effects of sanctions on global trade and alliances.


48 - Examining the relationship between environmental regulations and industry competitiveness.

This study explores how environmental regulations influence firms’ productivity, innovation, and global competitiveness. It evaluates the trade-offs between achieving sustainability goals and maintaining economic efficiency.

• Compare compliance costs across industries with varying regulatory requirements.
• Analyse case studies where stricter regulations encouraged innovation and efficiency.
• Investigate whether industries in heavily regulated economies lose competitive advantages.


49 - Investigating the effectiveness of different policies in reducing carbon emissions and promoting clean energy.

This investigation evaluates various policy measures aimed at reducing carbon emissions and encouraging renewable energy adoption. It examines their success in achieving environmental targets without undermining economic growth.

• Compare the effectiveness of carbon taxes, cap-and-trade systems, and subsidies for renewables.
• Analyse emission trends before and after implementing key policies.
• Investigate how policy effectiveness varies between developed and developing countries.


50 - Developing a model to predict the impact of fiscal policies on government revenue and expenditure.

This study focuses on building a model to analyse how fiscal policies, such as tax changes and public spending adjustments, influence government budgets. It evaluates the relationship between fiscal measures and macroeconomic stability.

• Use historical data to analyse the effects of tax reforms on revenue generation.
• Assess public spending efficiency across sectors like healthcare, education, and defence.
• Examine the role of fiscal multipliers in determining the broader economic impact of policies.


51 - Analyzing the impact of income inequality on health outcomes and social welfare.

This study investigates how disparities in income levels influence health outcomes and access to social welfare services. It examines the broader socio-economic effects of inequality, including its impact on public health systems and community well-being.

• Compare health indicators (e.g., life expectancy, infant mortality) across income groups.
• Assess the role of public healthcare funding in mitigating inequality.
• Examine the long-term social and economic costs of income-related health disparities.


52 - Examining the relationship between financial crises and banking regulations.

This investigation explores how financial crises influence the design and implementation of banking regulations. It evaluates the effectiveness of regulatory reforms in preventing future crises and ensuring financial stability.

• Analyse the impact of key regulatory measures (e.g., Basel accords) on banking practices.
• Compare pre- and post-crisis financial stability indicators.
• Assess the role of central banks in enforcing regulations during periods of economic turbulence.


53 - Investigating the effectiveness of different education policies on student achievement and labor market outcomes.

This study evaluates how various education policies, such as funding reforms or curriculum changes, influence student performance and their subsequent success in the labour market. It examines the link between education quality and workforce productivity.

• Compare student achievement data before and after policy implementation.
• Analyse the role of vocational training and STEM education in improving employability.
• Evaluate the long-term economic impact of investments in education.


54 - Developing a model to predict the effect of technological change on productivity and economic growth.

This investigation focuses on building a predictive model to analyse how advancements in technology affect productivity levels and overall economic growth. It evaluates both short-term disruptions and long-term benefits.

• Use industry-specific data to assess the adoption of new technologies.
• Incorporate factors like labour market shifts and capital investment into the model.
• Analyse historical trends linking technological innovation to GDP growth.


55 - Analyzing the impact of demographic changes on the labor market and social security programs.

This study explores how shifts in demographic factors, such as ageing populations or migration trends, affect employment patterns and the sustainability of social security systems. It evaluates the economic challenges posed by these changes.

• Assess the impact of an ageing workforce on productivity and labour supply.
• Analyse the financial pressures on social security systems due to demographic shifts.
• Investigate the role of immigration in addressing labour shortages and funding public pensions.


56 - Examining the relationship between corruption and economic development in developing countries.

This investigation explores how corruption affects economic growth and development, focusing on its impact on public investments, business operations, and foreign direct investment. It evaluates whether anti-corruption measures can promote sustainable economic progress.

• Analyse the effect of corruption on public spending efficiency and infrastructure development.
• Use data on corruption indices and GDP growth rates in selected countries.
• Assess the role of international organisations in promoting anti-corruption initiatives.


57 - Investigating the effectiveness of different trade agreements on promoting economic growth and development.

This study evaluates the role of trade agreements in boosting economic development, focusing on their impact on trade volumes, market access, and foreign investment. It examines whether such agreements foster equitable growth among member countries.

• Compare trade flows and GDP growth before and after trade agreements.
• Analyse the effects of reduced tariffs and non-tariff barriers on developing economies.
• Investigate the role of regional trade agreements, such as NAFTA or ASEAN, in promoting cooperation.


58 - Developing a model to predict the impact of transportation infrastructure on regional economic development.

This investigation focuses on creating a model to analyse how investments in transportation infrastructure influence economic growth in specific regions. It evaluates the role of connectivity in enhancing productivity and reducing regional disparities.

• Use data on infrastructure spending and economic output by region.
• Examine the relationship between improved transportation and employment growth.
• Evaluate the impact of infrastructure development on trade efficiency and market integration.


59 - Analyzing the impact of income tax on labor supply and consumer behavior.

This study explores how income taxation affects individuals’ work incentives and consumption decisions. It evaluates whether tax policies encourage labour participation or reduce disposable income and purchasing power.

• Compare labour force participation rates under varying income tax systems.
• Analyse the effect of progressive and flat taxes on consumer spending patterns.
• Investigate the elasticity of labour supply in response to changes in after-tax income.


60 - Examining the relationship between gender inequality and economic growth in developing countries.

This investigation evaluates how gender inequality affects economic growth in developing nations, focusing on barriers to education, employment, and leadership opportunities for women. It analyses whether reducing inequality contributes to sustainable growth.

• Assess the impact of gender disparities in education on workforce productivity.
• Use data to evaluate the contribution of women to GDP growth in selected countries.
• Analyse the role of policy initiatives in reducing gender gaps in labour markets.

Which news article should I base my commentary on?

When choosing a news article to use for your Economics IB portfolio commentaries, it's important to select one that is relevant to your research question and that provides credible and reliable information.

Here are a few tips on how to choose a news article:

• Look for articles from reputable sources
  Use sources such as The Economist, The New York Times, The Wall Street Journal, Financial Times, Forbes, etc.
• Look for articles that are recent
  Try to find an article that has been published within the last 6-12 months, as this will ensure that the information is up-to-date and relevant to your research question.
• Look for articles that are relevant to your topic
  Try to find an article that is directly related to your research question, as this will ensure that the information is relevant and useful for your analysis.
• Look for articles that explore the consequences of policy
  Try to find articles that present evaluation of the consequences of an economic policy decision, as this will help you to fully analyse economic concepts.

How should I structure the commentary?

Cover page: This should include the title of the IA, your name, and the date of submission. It may also include the name of your school or teacher.

Introduction: This section should provide an overview of your research question and the purpose of your investigation. It should also provide background information on the topic and explain why it is important or relevant. Additionally, you should define any key terms and concepts that are central to your research question.

Key terms and definitions: This section should provide definitions of the key terms and concepts that are central to your research question. It should also explain their relevance to your analysis.

Diagrams: This section should include diagrams that help to present and explain the economic data and concepts relevant to your research question. Make sure that your diagrams are clear, well-labeled, and easy to understand. Also, provide a brief explanation of what the diagrams show, and how they support your analysis and conclusions.

Analysis: This section should present the results of your analysis in a clear and organized manner. Use tables, graphs, and figures to help present your findings. This section should also include an explanation of how the data supports your research question, and any relevant economic theory.

Linking diagrams and analysis: This section should link the diagrams and the analysis together, explaining how they support each other and how they help to answer the research question.

Evaluation: This section should be a critical reflection on the strengths and limitations of your investigation. Consider the potential sources of bias or error and how they may have affected your results. Also, you should reflect on the reliability and validity of the sources you used, and how they influenced your analysis. Furthermore, it should suggest any areas for future research.

How can I do well?

Before starting each commentary, you should remind yourself of the marking criteria of the IA. Paying close attention to hitting each criterion will allow you to maximise your score. If you are struggling in preparation then you should consider hiring a good IB Economics tutor. With the support of experienced IB tutors and resources like IB Economics Q&A Revision Notes, students gain deeper insights into their subjects, fostering a stronger foundation for higher grades.

The International Baccalaureate (IB) program evaluates student's economics IA based on six criteria: A-F. In order to score well in each criterion, it is important to show a deep understanding of the topic, and the ability to apply and analyze the economic concepts and theories in the context of the article. In this article, we will discuss each criterion in detail and provide tips on how to score well in each one.

Criterion A: Diagrams

This criterion assesses the extent to which the student is able to construct and use diagrams. In order to score well in this criterion, it is important to include relevant, accurate and correctly labeled diagrams in your IA, and to provide a full explanation of how they support your analysis and conclusions.

Criterion B: Terminology

This criterion assesses the extent to which the student uses appropriate economic terminology throughout the IA. To score well in this criterion, it is important to use terminology relevant to the article, and to use it appropriately throughout the commentary.

Criterion C: Application

This criterion assesses the extent to which the student recognizes, understands and applies economic information in the context of the article. To score well in this criterion, it is important to apply relevant economic concepts and/or theories to the article, and to do so appropriately throughout the commentary.

Criterion D: Analysis

This criterion assesses the extent to which the student can explain and develop appropriate economic theories and/or concepts in the context of the article. To score well in this criterion, it is important to provide appropriate economic analysis relating to the article.

Criterion E: Evaluation

This criterion assesses the extent to which the student synthesizes their analysis in order to make judgments that are supported by reasoned arguments. To score well in this criterion, it is important to make judgments that are supported by appropriate reasoning.

Criterion F: Rubric requirements

This criterion assesses whether the IA meets the rubric requirements, such as word count, the article the commentary was based on, and the syllabus content covered.

An Economics tutor said the following:

"I advise students that the Economics IA is a chance to show how well they understand and can use economic ideas to examine real-world issues. For each commentary, students should pick a news article that relates to the topic and use economic theories to explain what's happening in the article. It's important to connect these theories to real-life examples and think deeply about how economic decisions and market changes affect us. This helps students not only get better at analysing but also see the real impact of economics around the world."

How is the IA graded?

It is graded by the student’s teacher, who is trained and certified by the International Baccalaureate organization. The report is then sent to a moderator, who will check that the report adheres to the IB guidelines and that the grade awarded is appropriate.

Source: IB Economics HL Subject Brief

Conclusion

In summary, the IA in the IB is an opportunity for students to demonstrate their understanding of the Physics curriculum, as well as their ability to conduct independent research. It consists of a laboratory report and a reflective statement, and is worth 20% of the final grade for the course. To prepare for the assessment, students should ensure that they understand the material covered in their Physics course, practice writing lab reports, and seek feedback from their teachers.