AD/AS appears constantly in IB Economics revision because it gives you a flexible way to explain growth, inflation, unemployment, and supply-side policy. In Paper 2, the mark is usually in the connection between the diagram and the case-study economy.
How to draw the AD/AS diagram
- Put real output on the horizontal axis
- Put the price level on the vertical axis
- Draw AD, SRAS, and LRAS
- Shift the correct curve and label the new equilibrium
Common Paper 2 example
Education raises productivity
Better education raises labour productivity, shifting LRAS right. Over time that supports non-inflationary growth, which is often a stronger evaluation point than simply saying GDP rises.
How to use it in the exam
Pair the diagram with a short explanation of short-run and long-run effects. That is where many IB Econ answers become more evaluative.
See the Bhutan walkthrough for a full development-style example.
Want feedback on your next Economics answer?
If you want instant feedback on your answers and see exactly what earns marks, try Aimnova free.
Try Aimnova freeMore IB Economics guides
Build your IB Economics revision cluster
Need more than one article? Explore the IB Economics study hub or browse all IB Economics blog posts so your practice, revision, and exam technique all connect.
Ready to put your IB knowledge to the test?
Try a full-length mock exam with real IB-style questions and instant marking — or browse our question bank to practise topic by topic.