How to Recommend a Policy in IB Economics Paper 3

Introduction: Why This Guide Matters

Ever been stumped by a “Recommend a Policy” question in IB Economics Paper 3? You’re not alone! These questions can seem tricky at first because they combine theoretical knowledge, critical thinking, and context-specific application. But don’t worry—with the right framework, you can master them. This guide will teach you exactly how to approach these questions so you can score top marks in your IB exams.

By the end of this guide, you’ll know:

  1. What Recommend a Policy questions are all about.
  2. How to apply the EconPrep five-step framework.
  3. How to avoid common mistakes and stand out.

Let’s dive in!


What Is a ‘Recommend a Policy’ Question?

These questions are a staple of Paper 3. They’re designed to test your ability to analyze an economic issue, suggest a solution, and justify it. Here’s how the IB defines “recommend”:

“To present an advisable course of action with appropriate supporting evidence/reason in relation to a given situation, problem or issue.”

In simpler terms, you need to:

  • Identify the problem or issue described in the question.
  • Suggest a single economic policy to address it.
  • Justify your recommendation with evidence and evaluation.

Why Are These Questions Important?

  • High Weightage: They’re worth significant marks in Paper 3.
  • Critical Thinking: These questions require you to synthesize theory and data effectively.
  • Real-World Relevance: They mirror real-life economic decision-making—skills you’ll need beyond the IB.

The EconPrep Five-Step Framework

Here’s the step-by-step guide to nailing these questions:

Step 1: Ask Before Writing

Before you even start writing, pause and reflect. Ask yourself:

  1. What is the main issue or problem in this question?
    • Example: Is it inflation, unemployment, or negative externalities?
  2. Which policies have I learned to address this issue?
    • Recall fiscal, monetary, supply-side, or trade policies.
  3. Which policy is the best fit for this specific context? Why?
    • Use the data or information in the question to guide your choice.

Pro Tip: Misidentifying the issue can derail your entire answer, so spend time here to ensure you’ve nailed the question’s focus.


Step 2: State and Explain

  • State: Clearly name your recommended policy.
    • Example: “I recommend implementing an expansionary fiscal policy to reduce unemployment.”
  • Explain: Define the policy and outline how it addresses the issue.
    • Example: Expansionary fiscal policy involves increasing government spending or reducing taxes to boost aggregate demand (AD), leading to higher output and employment levels.

Important:

  • Only recommend ONE policy. Writing multiple policies won’t earn extra marks; examiners only assess the best one.
  • Use simple and precise language. Keep your explanation concise but accurate.

Step 3: Elaborate

Support your recommendation with:

  1. Relevant Economic Theory:
    • Use your knowledge to back up your points. For example:
      • “According to Keynesian theory, higher government spending shifts AD to the right, increasing real GDP and reducing cyclical unemployment.”
  2. Evidence from the Question:
    • Quote or refer to data provided. For instance:
      • “The case study highlights a 6% unemployment rate, which suggests significant spare capacity in the economy.”

Pro Tip: Unlike Paper 2, diagrams are not required in Paper 3 part (b) questions. Focus on clear explanations instead.


Step 4: Evaluate Using CLASPP

Evaluation is critical to scoring high marks. Use the CLASPP framework:

  • C: Conclusion—Summarize your findings.
  • L: Long-term vs short-term effects—What happens now versus later?
  • A: Assumptions—What economic assumptions does the policy rely on?
  • S: Stakeholders—Who benefits or loses (e.g., consumers, producers, government)?
  • P: Pros and cons—Weigh the advantages and disadvantages.
  • P: Prioritization—Which effect is most significant?

Example Evaluation:

  • “While fiscal policy can reduce unemployment in the short term, it may lead to higher government debt, creating long-term sustainability issues.”

Pro Tip: Always balance your evaluation by discussing both benefits and limitations.


Step 5: Conclusion

End with a strong, reasoned argument. Your conclusion should:

  1. Reiterate your recommended policy.
  2. Explain why it’s the best solution for the problem.
  3. Tie it back to the evidence and evaluation you’ve provided.

Example:

  • “In conclusion, expansionary fiscal policy is the most effective way to reduce unemployment in this scenario because it directly addresses the lack of aggregate demand, as evidenced by the high unemployment rate and output gap.”

Note: A conclusion is not just a summary. It must include a reasoned justification for your policy choice.


Common Pitfalls and How to Avoid Them

  1. Misidentifying the Issue:
    • Solution: Carefully read the question and analyze the data.
  2. Recommending Multiple Policies:
    • Solution: Stick to ONE policy and develop it fully.
  3. Weak Evaluation:
    • Solution: Always use the CLASPP framework for balanced analysis.
  4. Overcomplicating Explanations:
    • Solution: Keep it simple and focus on clarity.

Real-World Examples to Enhance Your Answers

Using real-world examples can make your answer stand out. Here are a few ideas:

  • Inflation: Monetary policy in the UK to control inflation.
  • Unemployment: Germany’s investment in vocational training as a supply-side policy.
  • Externalities: Carbon taxes in Sweden to reduce greenhouse gas emissions.

Pro Tip: Use these examples as inspiration, but always tailor them to the question’s context.


Practice Makes Perfect

To excel in Paper 3, practice is key. Here’s how:

  1. Work through past paper questions using the EconPrep framework.
  2. Time yourself to simulate exam conditions.
  3. Review your answers critically—identify areas to improve.

Key Takeaways

  • Master the EconPrep five-step framework: Ask → State → Elaborate → Evaluate → Conclude.
  • Focus on quality over quantity in your explanations and evaluations.
  • Practice regularly and reflect on your answers.

Call to Action #1: Free Resource

Want a cheat sheet of the EconPrep framework? Download it for free! [Click here to get your copy.]


Call to Action #2: Tutoring Services

Struggling with IB Economics? Let’s work together! Book a free consultation with EconPrep for personalized support. [Schedule your session today.]


FAQs

1. What if I can’t think of a good policy?
Start by identifying the problem and recalling relevant theories. Simplify your approach—even a basic policy well-justified can score highly.

2. How much time should I spend on part (b) questions?
Allocate about 20-25 minutes. Practice timed responses to get a feel for this.

3. Can I lose marks if my evaluation is too brief?
Yes! A strong evaluation is essential for top marks, so always include CLASPP-based analysis.


That’s it—you’re now equipped to tackle “Recommend a Policy” questions with confidence. Good luck, and remember: practice makes perfect!

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