AQA · GCSE · 8136
Economics — Keywords & Key Terms — Definitions Glossary (2026)
AQA GCSE Economics (8136) — Specification (2026)
Topic-by-topic keywords, key terms and definitions for precise exam language—separate from our revision checklists (topic coverage) and formula sheets (equations).
Keywords & Key Terms — definitions
Examiner-style keywords and definitions organised by syllabus topic. Terms are tagged Essential (start here), Core (typical exam standard), and Advanced for harder distinctions — tick each row when you can recall it. Your progress is saved in this browser for this list.
AQA GCSE Economics (8136)
AQA GCSE Economics (8136)
AQA GCSE Economics (8136) — Specification (2026)
Topics align to AQA GCSE Economics themes (how markets work; the role of money & financial markets; economic objectives & government policy; international trade & the global economy).
Mark schemes: AQA mark schemes reward accurate definitions plus application to context. For ‘explain’ answers, include chain-of-reasoning (cause → effect → outcome) and use key terms like ‘incentives’, ‘opportunity cost’, and ‘market failure’.
Active recall: 0 / 37 terms ticked
| Recalled | Topic | Level | Keyword | Definition |
|---|---|---|---|---|
| Markets & the economic problem | Essential | Scarcity | Limited resources but unlimited wants; choices must be made. | |
| Markets & the economic problem | Essential | Opportunity cost | The value of the next best alternative foregone when making a decision. | |
| Markets & the economic problem | Core | Demand | The quantity of a good or service consumers are willing and able to buy at a given price. | |
| Markets & the economic problem | Core | Supply | The quantity of a good or service producers are willing and able to sell at a given price. | |
| Markets & the economic problem | Advanced | Elasticity | A measure of responsiveness (e.g., how much demand changes when price changes). | |
| Market failure & government intervention | Core | Market failure | When a market does not allocate resources efficiently, leading to welfare loss. | |
| Market failure & government intervention | Core | Externality | A cost or benefit of an economic activity experienced by third parties. | |
| Market failure & government intervention | Advanced | Taxation | A government levy that can change incentives and reduce negative externalities (e.g., indirect taxes). | |
| Market failure & government intervention | Advanced | Subsidy | A government payment to producers/consumers to encourage production/consumption of a good. | |
| Market failure & government intervention | Core | Public good | A good that is non-excludable and non-rival (e.g., street lighting). | |
| Market failure & government intervention | Core | Merit good | A good with positive externalities that may be under-consumed without intervention (e.g., education). | |
| Market failure & government intervention | Core | Demerit good | A good with negative externalities that may be over-consumed (e.g., cigarettes). | |
| Market failure & government intervention | Advanced | Regulation | Rules set by government to control behaviour of firms/markets (e.g., minimum standards). | |
| How markets work (price mechanism) | Essential | Market | Where buyers and sellers interact to exchange goods and services. | |
| How markets work (price mechanism) | Core | Equilibrium price | The price where quantity demanded equals quantity supplied. | |
| How markets work (price mechanism) | Core | Excess demand (shortage) | When demand is greater than supply at a given price. | |
| How markets work (price mechanism) | Core | Excess supply (surplus) | When supply is greater than demand at a given price. | |
| How markets work (price mechanism) | Advanced | Competition | Rivalry among firms to attract customers, often improving quality/price. | |
| How markets work (price mechanism) | Advanced | Productivity | Output per worker per unit time; higher productivity can lower unit costs. | |
| The role of money & financial markets | Essential | Money | Anything accepted as a medium of exchange for goods and services. | |
| The role of money & financial markets | Core | Inflation | A sustained increase in the general price level over time. | |
| The role of money & financial markets | Core | Interest rate | The cost of borrowing or reward for saving, usually expressed as a percentage. | |
| The role of money & financial markets | Core | Exchange rate | The price of one currency in terms of another currency. | |
| The role of money & financial markets | Advanced | Bank of England | The UK’s central bank, responsible for monetary policy and financial stability. | |
| The role of money & financial markets | Advanced | Monetary policy | Using interest rates and other tools to control inflation and support growth. | |
| Economic objectives & government policy | Core | Economic growth | An increase in the value of goods and services produced (often measured by real GDP). | |
| Economic objectives & government policy | Core | Unemployment | People who are able and willing to work but cannot find a job. | |
| Economic objectives & government policy | Core | Fiscal policy | Government decisions on spending and taxation to influence the economy. | |
| Economic objectives & government policy | Advanced | Budget deficit | When government spending is greater than tax revenue in a year. | |
| Economic objectives & government policy | Advanced | Progressive tax | A tax where higher incomes pay a higher percentage rate. | |
| Economic objectives & government policy | Advanced | Supply-side policy | Policies aimed at increasing long-run productive capacity (e.g., education, infrastructure). | |
| International trade & the global economy | Core | Import | Buying goods or services from another country. | |
| International trade & the global economy | Core | Export | Selling goods or services to another country. | |
| International trade & the global economy | Core | Trade balance | Exports minus imports for goods and services. | |
| International trade & the global economy | Advanced | Comparative advantage | Producing a good at a lower opportunity cost than another country. | |
| International trade & the global economy | Advanced | Tariff | A tax on imports that can raise prices and reduce import demand. | |
| International trade & the global economy | Advanced | Globalisation | Increasing economic interdependence between countries through trade, finance, and migration. |
Pair this with our revision checklists, formula sheets hub and past paper finder.
Economics (8136) — Keywords & Key Terms FAQ
- What is on this AQA GCSE Economics keywords and key terms list?
- It is a topic-organised glossary of important economics terms with short, exam-style definitions aligned to AQA GCSE Economics (8136) — Specification (2026) (8136). It is designed for “define”, “state”, “outline” and “explain” questions where precise vocabulary earns marks.
- How should I use this Economics glossary alongside past papers?
- Tick terms when you can recall them without reading the answer, then check your wording against mark schemes. Pair vocabulary practice with past papers for GCSE Economics (8136) so you apply terms in context.
- Is this the same as a revision checklist or a formula sheet?
- No. Revision checklists help you track which syllabus topics you have covered and your confidence—separate pages on Tutopiya. Formula sheets summarise equations and quantitative relationships. This page is only a definitions and key-terms glossary for Economics.
- Can I download this Economics keywords and key terms list for free?
- Yes. After a quick free sign-up you can download a UTF-8 CSV (opens in Excel or Google Sheets) or open a print-friendly page and save as PDF. Browsing the list on the page is free.
- Is this Economics list aligned to the 8136 specification?
- Topic groupings and wording follow AQA GCSE Economics (8136) — Specification (2026) for AQA GCSE. Always confirm final learning objectives and any regional options in your official specification and recent examiner reports for your exam session.
- Why focus on definitions instead of full notes?
- Mark schemes reward correct technical terms and clear links between ideas. A compact glossary lets you drill the exact language examiners expect for Economics at GCSE, separate from longer notes or topic trackers.