BMA4002 Assignment 1 Brief

Summary of Assessment Task and Rationale

This assessment is designed to enable students to demonstrate an understanding and application of core economic theories to analyse changes in the prices of commodities in the UK economy over the past 10 years, within a domestic, international, and globalised context.

The task requires students to apply microeconomic models (supply, demand, comparative statics, elasticity) as the primary analytical framework, while also considering macroeconomic policy influences and international economic and political factors that shape commodity markets.

Through this analysis, students will develop a broader perspective on economic change, enabling reflection on how global economic forces influence business environments, employment, and future career opportunities.

Task Overview

You are required to produce an individual report analysing the changes in the price of a selected commodity in the UK economy over the past 10 years (approximately 2016–2026).

The purpose of this assessment is to evaluate your ability to:

• Apply economic theory to real-world price movements
• Use microeconomic models to explain changes in commodity prices
• Critically reflect on the process of undertaking economic analysis, demonstrating how feedback, problem-solving, and economic reasoning inform understanding of work, business, and future career development.

Commodity Selection

You must select ONE commodity from the list below:

• Natural gas
• Oil
• Milk
• Gold
• Vegetables
• Water
• Coffee

Your chosen commodity must be analysed using authentic data and credible academic or institutional sources.

Task 1: Understanding Economic Theory and Price Trends (LO1)

(750 words)

Using appropriate data, analyse how the price of your chosen commodity has changed in the UK over the past 10 years.

You should:

• Identify key trends, fluctuations, and periods of volatility
• Refer to relevant economic theories
• Explain how these prices changes relate to the UK business and economic environment, with reference to domestic and international influences where appropriate

This section assesses your understanding of economic theory and its application to real-world business contexts.

Task 2: Microeconomic Analysis of Commodity Price Changes (LO2)

(1250 words)

Apply microeconomic models to explain the observed price changes of your chosen commodity.

Your analysis must include:

• Clearly labelled supply and demand diagrams
• Use of comparative statics to explain shifts in supply and/or demand
• Discussion of factors such as:
  • Changes in production costs
  • Consumer behaviour and demand conditions
  • Market conditions and constraints

Consideration of price elasticity of demand and/or supply, including short-run and long-run perspective

Task 3: Reflection and Career Perspective (LO5)

(500 words )

This section requires you to critically reflect on how you approached and developed this assessment, rather than simply describing what you learned.

Your reflection must demonstrate engagement with feedback, problem-solving, and decision-making during the completion of the task, and explain how this process has influenced your understanding of economics in relation to work, business, and future career development.

You are required to address all three areas below.

a) Engagement with Feedback and Development

• Refer to at least two specific pieces of feedback received during seminars, workshops, tutorials, or informal discussions.
• Explain how each piece of feedback influenced a specific change in your analysis, diagrams, data use, or interpretation.
• Clearly indicate what was changed and why.

 b) Problem-Solving and Decision-Making

• Identify at least two challenges encountered while completing the assessment (e.g. data limitations, diagram construction, interpreting price trends, applying elasticity etc.). Be specific and refer to the precise areas of your assessment where the challenges occurred.
• Explain the approach you initially took, whether it was effective, and how you adapted your strategy where necessary.
• Reflect on how undertaking this economic analysis has:
• Shaped your awareness of how economic reasoning is relevant to your future career aspirations. Please be specific and refer to your intended career goal(s).

This section should demonstrate critical reflection and evidence of development. Purely descriptive accounts or generic statements will not meet the learning outcome

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