Sociology and Economics
Core concepts
Sociology: social institutions (family, school, religion, state), socialization, norms and values, social stratification, and social change. Economics: scarcity, supply and demand, market equilibrium, factors of production, inflation, unemployment, and the role of the state.
Traps
- Confusing socialization (process of learning norms) with social control (mechanisms enforcing them).
- Mixing shift along a demand curve (price change) with a shift of the curve (income, tastes, expectations).
- Confusing inflation (general price rise) with a rise in one good's price.
- Treating GDP as a welfare measure - it omits distribution and non-market activity.
- Confusing stock variables (capital, wealth) with flow variables (income, investment).
Rule of thumb
For demand/supply items, ask: did the good's own price change? If yes, move along the curve; if a non-price factor changed, shift the curve. For institutions, ask which function is being described before naming the institution.
Worked example
A rise in the price of bread reduces quantity demanded - a movement along the demand curve. A rise in consumers' income raises demand at every price - a rightward shift of the demand curve. These are different phenomena and examiners test the distinction.