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Updated 2026-05-01

IB Economics Diagrams Explained

IB Economics diagrams are not decorations. They are evidence. A strong diagram shows the market or macroeconomic change, supports the explanation, and gives the examiner a clear reason to award analysis marks.

01

Start with clean labels

Every diagram should have a title, correctly labelled axes, curves, equilibrium points, and directional shifts where relevant. If the diagram is messy, the explanation becomes harder to follow.

Coach note

Practise drawing core diagrams until they are fast and accurate: supply and demand, externalities, market failure, AD/AS, tariffs, quotas, subsidies, and exchange rates.

02

Explain the movement

After drawing, explain what changed and why. Do not assume the examiner will infer the economic story from the diagram alone.

Coach note

Use the diagram to support chains of reasoning: cause, shift, new equilibrium, impact, and stakeholder consequence.

03

Evaluate beyond the diagram

Evaluation should discuss limitations, assumptions, short-run versus long-run effects, stakeholder conflict, and real-world context. The diagram starts the analysis, but evaluation wins the higher bands.