CA1 notes

This will probably relate to tutors: would you advise me to get current set of notes i.e. have there been any non-cosmetic changes. I have 2009 notes. Am hesitant about getting updated notes as I was told that my old ST1 notes were out of date so I ordered the current notes and after days of comparing them versus the old notes only 1 minor section had been added and the rest was just "cosmetic" changes.

 

I ain't a tutor but would recommend purchasing an updated set of CA1 Revision Notes too. It's such a huge subject that having the core reading & past year papers split by topics for you is well worth it.

 

Thanks for the advice - much appreciated

 

I am not following some of this economics theory even some of the fundamentals I am going down the wrong path (eg. "A balance of payments deficit leads to currency weakness as more of the domestic currency makes its way into overseas circulation". I would have thought a deficit would mean less money in domestic economy and hence even less in circulation overseas?)
Rather than learning specific scenarios is there a good economics book that covers the fundamentals so that maybe I can work out the solutions rather than learning scenarios given in the notes and taking them as fact. Preferably a book focused on the areas covered in CA1 such as bond yields and curves, economic influences on investment markets, exchange rates, interest rates and inflation.
thanks

 

Hi,

Balance of payment deficit is a situation in which imports of goods, services, investment income and transfers exceed the exports of goods, services, investment income and transfers. The excessive imports means more of the domestic currency makes its way into overseas circulation. The deficit doesn't mean less money. It is a deficit which is net of exports and imports. Think of an economy which is heavily reliant on other countries to supply everything it needs. The weakened domestic currency due to excess supply of it will need to be corrected by increasing interest rates to attract foreign investment.

So maybe you can link an economy dependent on others to provide it goods and services and high interest rates, and think of practical examples. That's how I relate. Sorry, I don't know a book to suggest to you.