Determination of a floating exchange rate - Explaining how floating exchange rates are determined by supply and demand forces.

Distinction between depreciation and appreciation of a floating exchange rate - Differentiating between depreciation and appreciation of a currency.

Causes of changes in a floating exchange rate: - demand and supply of the currency

AD/AS analysis of the impact of exchange rate changes on the domestic economy’s equilibrium national income and the level of real output, the price level and employment - Analyzing the impact of exchange rate changes on macroeconomic variables using the AD/AS model.

Government policy objective of stability of the current account - Discussing the government's objective of achieving current account stability.

Effect of fiscal, monetary, supply-side and protectionist policies on the current account - Analyzing the impact of different policies on the current account.

Definition and calculation of total utility and marginal utility - Defining and calculating total utility and marginal utility.

Diminishing marginal utility - Explaining the concept of diminishing marginal utility.

Equi-marginal principle - Introducing the equi-marginal principle, which states that consumers maximize utility when the marginal utility per dollar spent is equal across all goods.

Derivation of an individual demand curve - Explaining how the individual demand curve is derived from the equi-marginal principle.

Limitations of marginal utility theory and its assumptions of rational behaviour - Analyzing the limitations and assumptions of marginal utility theory.

Meaning of an indifference curve and a budget line - Defining and explaining indifference curves and budget lines.