The purpose of the DP Economics HL course is to encourage students to analyze how individuals, institutions, and societies deal with the central problem of scarcity. In the first year of the course, students will examine this issue from a microeconomic level (decisions made by individuals and specific institutions and firms), as well as macroeconomic (decisions made by entire nations/economies). In the second year of the course, students will explore issues in international economics (free trade, trade protectionism, exchange rates, balance of payments, etc.) and investigate global challenges in achieving economic development. Unique to HL, students will cover extension topics which are extra depth and breadth studies of Theory of the Firm, comparative advantage, and various calculations to name a few. The two-year program concludes with an external examination worth 80%, and with an internal assessment (Economics Portfolio) worth 20% that is constructed throughout the course.