2026-W26
Short-run macro effects (wages, taxes, exchange rates) drove most errors
This week’s quizzes show strong understanding of AD/AS basics but repeated mistakes on short-run effects of wage changes, indirect taxes and currency appreciation.
Published July 5, 2026
Total quiz attempts
70
Active learners
14
Average score
83.6%
Overall question accuracy
75.9%
Most error-prone unit
Unit 3.2 (macro short-run)
1. Weekly Overview
Macro short-run impacts caused the largest gaps.
Aggregate results (70 attempts, 14 learners) show generally good scores but concentrated misunderstandings in Unit 3.2: how nominal wage rises, indirect taxes and currency appreciation affect AD/AS, prices and output. Micro items on supply responses also caused mistakes, while several AD/AS shift items were answered correctly.
Student takeaway: Focus next on Unit 3.2 short-run AD/AS mechanics (wages, taxes, exchange rates) and Unit 2.1 supply–demand shift logic.
2. Key Patterns
Main Insights
Misunderstanding of currency appreciation and trade effects
A question on significant domestic currency appreciation had 0% correct (8 attempts), indicating a clear gap in linking appreciation → cheaper imports, more expensive exports to foreigners → downward pressure on net exports and AD.
Advice: Revise how exchange rate appreciation affects net exports and AD; practice labeled AD/AS examples showing the immediate AD shift and effects on output and price level.
Confusion about the short-run effects of nominal wage rises and indirect taxes
Questions about large nominal wage increases and a rise in indirect taxes each had very low correct rates (12.5% and ~11%), showing inconsistent application of short-run AS shifts, cost-push inflation and tax incidence on prices/output.
Advice: Work through short-run AS shifts: map wage or tax shocks to SRAS/AS movements and then to price level and output; practice explaining incidence (who bears the tax) with diagrams.
Strength: AD shift reasoning is solid for clear narratives
Several AD/AS items describing straightforward demand-side changes (household confidence, worse business expectations, LRAS changes from technology/immigration) had very high correct rates (including perfect scores).
Advice: Leverage this strength by pairing AD/AS narrative questions with diagram practice on the trickier short-run supply and policy effects.
Time-on-question outliers suggest hesitation on elasticity items
A small number of micro elasticity items show extremely high average times, which may indicate hesitation or technical anomalies; answers were mixed on elasticity determinants.
Advice: If you struggle with elasticity, rehearse definitions (price elasticity, income elasticity) and short calculations; time yourself on short practice items to build confidence.
3. Revision Plan
Priority Areas
Short-run AD/AS effects of wages, taxes, exchange rates · 3.2
Multiple low-correct items show students misapply SRAS/AD shifts and tax/exchange-rate incidence.
Action: Practice 6–8 labeled AD/AS diagrams: wage shock, indirect tax, currency appreciation; write one-sentence conclusions about output and price changes.
Supply and demand shifts in goods markets · 2.1
High wrong rate on demand–supply interaction questions (e.g., concert tickets) shows confusion about short-run supplier response vs price movements.
Action: Do step-by-step shift exercises: identify which curve shifts, direction, new equilibrium price/quantity, and any short-run supply constraints.
Government subsidies and producer expectations · 2.2
Mixed performance on subsidy and supply-expectation items indicates uncertainty about supply-side policy effects.
Action: Sketch subsidy diagrams and compare to tax diagrams; practice questions on producer expectations and current supply changes (e.g., stockpiling or delaying sales).
Elasticity definitions and determinants · 2.5
Variable accuracy and unusually long times suggest slower recall on elasticity types and determinants.
Action: Review YED/PED definitions and determinants with brief examples; time 10 short MCQs to improve recall speed.
4. Question Evidence
Featured Questions
Most Wrong Questions
| Question | Topic | Unit | Attempts | Correct | Wrong | Avg Time |
|---|---|---|---|---|---|---|
| How is the economy affected when nominal wages rise significantly across the economy due to strong trade union bargaining? | Macroeconomics | 3.2 | 16 | 12.5% | 0.0% | 19.1 s |
| A student says: “When demand for concert tickets increases, firms will increase their supply, so prices will fall back down.” Using a demand and supply diagram, what actually happens when demand for concert tickets rises? | Microeconomics | 2.1 | 20 | 35.0% | 0.0% | 16.5 s |
| What happens if the domestic currency appreciates significantly, making imports cheaper and exports more expensive to foreigners? | Macroeconomics | 3.2 | 8 | 0.0% | 0.0% | 25.2 s |
Most Correct Questions
| Question | Topic | Unit | Attempts | Correct | Wrong | Avg Time |
|---|---|---|---|---|---|---|
| How is aggregate demand affected when households become more confident about the future and expect their incomes to rise? | Macroeconomics | 3.2 | 12 | 100.0% | 0.0% | 10.5 s |
| How is aggregate demand affected if business expectations about future profits worsen sharply, leading firms to postpone or cancel investment projects? | Macroeconomics | 3.2 | 14 | 92.9% | 0.0% | 20.5 s |
| What happens to the LRAS curve if there is a widespread adoption of advanced production technologies that significantly raise labour and capital productivity? | Macroeconomics | 3.2 | 11 | 100.0% | 0.0% | 13.1 s |
Most Time Spent Questions
| Question | Topic | Unit | Attempts | Correct | Wrong | Avg Time |
|---|---|---|---|---|---|---|
| Which type of good has a YED greater than 1? | Microeconomics | 2.5 | 3 | 66.7% | 0.0% | 303.5 min |
| Which of the following increases the price elasticity of demand for a good? | Microeconomics | 2.5 | 5 | 40.0% | 0.0% | 105.1 min |
| Which of the following is true about indirect taxes like VAT? | Macroeconomics | 3.4 | 3 | 100.0% | 0.0% | 86.4 min |
5. Conclusion
Next steps
Prioritise short AD/AS diagram practice for wage, tax and exchange-rate shocks, and complete a set of micro supply–demand shift exercises; focus on translating narrative scenarios into one clear labelled diagram and a one-sentence conclusion about price and output.
Note: This weekly report is automatically generated and may contain mistakes. Always double-check key points before using them for revision.
This report summarises anonymized aggregate quiz activity and patterns across learners; no individual student data is shown.