How to evaluate an economics argument

Evaluation is assessment objective AO3. It means weighing up an argument and reaching a judgement with clear reasons. In the O Level syllabus for exams from 2027, it is about 10% of the marks, and it is only tested in Paper 2. In Cambridge's specimen paper (a sample exam) for that syllabus, the last part of each Section B question is worth 8 marks. It asks you to discuss both sides. At AS and A Level, evaluation is about 25% of the marks overall, and about 30% of Papers 2 and 4.

A common mistake is to write one side of the argument first. Then you add a final paragraph that starts with "However" and lists the other side. That shows you know both sides, which is a good start. To evaluate, you also need to weigh the two sides and decide which is stronger, and why.

Here are some simple ways to evaluate. Short run and long run: does the effect last, or does it change over time? Size: is the effect big enough to matter? What it depends on: for example, price elasticity of demand, how confident consumers are, or how the government pays for a policy.

Who gains and who loses: a policy can help one group and hurt another. A subsidy might help producers and consumers, but taxpayers pay for it. At AS and A Level, you can also question the assumptions behind a theory, such as ceteris paribus (all other things staying the same). Ask whether they are true in the case you're writing about.

You don't need to use all of these in every answer. Pick one or two that fit the question and apply them to your own argument. Then finish with a clear judgement that answers the question and says what it depends on. For example: "A rise in interest rates is likely to reduce inflation if it is demand-pull, but only after a delay, and it may do little if the inflation is cost-push." At AS and A Level, command words such as Assess and Evaluate ask for this kind of judgement. I look for it when I mark your written answers.