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Every A Level Economics Diagram You Need (All Boards)

Here are the A Level economics diagrams that come up again and again, drawn the way the mark scheme wants them. Twenty are on this page now: thirteen micro, seven macro. Twenty more follow as the topic pages go live. Every curve, equilibrium and shaded area is generated from the numbers in its caption. Each diagram comes with when to use it, how to draw it, and where it sits in the AQA, Edexcel and OCR specifications.

The diagram index: which diagram, which board, which paper

Find your diagram, check the section, then go to the notes page for the full lesson.

# Diagram AQA 7136 Edexcel 9EC0 OCR H460 Notes page
1 Demand, supply, equilibrium, consumer and producer surplus 4.1.3.5, 4.1.5.11 1.2.6, 1.2.8 Component 01, 2.4 Demand and supply
2 Demand shift, D₁ to D₂ 4.1.3.1 1.2.2 Component 01, 2.2 Demand and supply
3 Supply shift, S₁ to S₂ 4.1.3.3 1.2.4 Component 01, 2.3 Demand and supply
4 Elastic vs inelastic demand 4.1.3.2 1.2.3 Component 01, 2.6 Elasticity
5 Indirect tax: incidence, revenue, deadweight loss 4.1.8.9 1.2.9, 1.4.1 Component 01, 2.11 Market failure
6 Negative production externality 4.1.8.4 1.3.2 Component 01, 2.8 Market failure
7 Positive consumption externality 4.1.8.4 1.3.2 Component 01, 2.8 Market failure
8 Maximum price 4.1.8.9 1.4.1 Component 01, 2.11 Maximum and minimum prices
9 Minimum price 4.1.8.9 1.4.1 Component 01, 2.11 Maximum and minimum prices
10 Short-run cost curves: MC, AVC, ATC, AFC 4.1.4.4 3.3.2 Component 01, 3.2 Costs and revenue
11 Perfect competition: short-run supernormal profit 4.1.5.3 3.4.2 Component 01, 4.1 Perfect competition and monopoly
12 Monopoly: profit and deadweight loss 4.1.5.6 3.4.5 Component 01, 4.2 Perfect competition and monopoly
13 Kinked demand curve 4.1.5.5 not named (3.4.4) Component 01, 4.4 Oligopoly
14 AD, SRAS and classical LRAS 4.2.2.2 2.2.1, 2.3.3 Component 02, 1.2 to 1.4 AD and AS
15 Keynesian AS with spare capacity 4.2.2.6 2.3.3 Component 02, 1.3 AD and AS
16 AD shift right 4.2.2.4 2.2.1, 2.6.2 Component 02, 1.2, 3.2 Monetary policy
17 LRAS shift right 4.2.5.2 2.6.3 Component 02, 3.3 Supply-side policies
18 Short-run and long-run Phillips curves 4.2.3.4 2.6.4 Component 02, 2.8 Phillips curve
19 PPF and an outward shift 4.1.1.5, 4.2.3.1 1.1.4 Component 01, 1.3 Economic growth
20 Tariff: revenue and deadweight loss 4.2.6.2 4.1.6 Component 02, 4.4 Protectionism

Diagrams 1 to 13 and 19 belong to the micro paper (AQA Paper 1, Edexcel Paper 1, OCR Component 01). Diagrams 14 to 18 and 20 belong to the macro paper. All of them can appear in the third, synoptic paper. Section numbers are from the current specifications, checked in September 2026.

The five labelling rules

Examiners give diagram marks for labels they can check, not for a pretty drawing. The AQA examiners’ report for Paper 1 in June 2023 put it plainly: an unused diagram is application, and only once it is explained does it become analysis. Every diagram needs five things first.

Rule What it looks like What happens if you skip it
1. Label both axes Price and Quantity, or Price level and Real GDP, or Wage and Employment The examiner cannot tell which market you drew. The diagram is not credited
2. Name every curve D and S; MPC, MSC and MPB; AD, SRAS and LRAS An unnamed curve is a line. It proves nothing
3. Number the shift and arrow it D₁ to D₂ with an arrow between them The examiner cannot see the direction of change, so the chain of reasoning has no start
4. Mark the equilibria and project to both axes E₁ and E₂, dashed lines to P₁, P₂, Q₁, Q₂ “Price rises” is a claim. P₁ to P₂ on the axis is evidence
5. Shade and name the area the question is about Welfare loss, tax revenue, supernormal profit A welfare question with no welfare area on the diagram earns no welfare marks

Exam tip: OCR writes “explain, with the aid of a diagram” into the specification itself. AQA’s 9-mark questions tell you to use a diagram. In both cases the diagram is part of the answer, not decoration. Refer to it by its labels in the text: “at Q₁, MSC is above MPB, so…”.

A Level microeconomics diagrams: markets, failure and firms

1. Demand, supply and equilibrium, with consumer and producer surplus

Use it when a question asks how a market sets price, or what happens to surplus when price changes. Draw demand falling, supply rising, mark E, then project dashed lines to P and Q. Consumer surplus is the triangle above price and below demand. Producer surplus sits below price and above supply.

Demand and supply equilibrium with consumer and producer surplus Price (£) Quantity 0 E Consumer surplus £200 Producer surplus £200 D S Q* = 20 P* = 40
Figure 1 — Demand and supply diagram with consumer and producer surplus: demand P = 60 − Q meets supply P = 20 + Q at Q* = 20 and P* = £40; each surplus triangle is worth £200.

2. A shift in demand

Use it for any change on the buyers’ side: income, tastes, the price of a substitute, a season. Draw the new curve parallel to the old one, label it D₂, arrow the shift, and mark both equilibria. Price and quantity move the same way.

Demand shift: D1 to D2 raises price and quantity Price (£) Quantity 0 E₁ E₂ D₁ D₂ S Q₁ = 20 Q₂ = 25 P₁ = 40 P₂ = 45
Figure 2 — Demand shift diagram: D₁ to D₂ (a rise of 10 units at every price) moves equilibrium from 20 units at £40 to 25 units at £45.

3. A shift in supply

Use it for any change on the sellers’ side: costs, technology, a tax, weather. A cost rise shifts supply up by the cost per unit. Price rises by less than that, because buyers cut back. Quantity falls.

Supply shift: S1 to S2 raises price and lowers quantity Price (£) Quantity 0 E₁ E₂ D S₁ S₂ +£10 cost Q₁ = 20 Q₂ = 15 P₁ = 40 P₂ = 45
Figure 3 — Supply shift diagram: a £10 rise in costs moves S₁ to S₂; price rises by only £5, from £40 to £45, and quantity falls from 20 to 15.

Common mistake: Moving along the curve when the question needs a shift, or shifting when it needs a movement. A change in the good’s own price is a movement along. Anything else is a shift.

4. Elastic versus inelastic demand

Use it when a question turns on how much quantity responds: revenue after a price change, who pays a tax, whether a subsidy works. Draw two demand curves through the same point and put the same price rise on both. The flat one loses far more sales.

Elastic vs inelastic demand: the same price rise Price (£) Quantity 0 start D inelastic PED = -0.5 D elastic PED = -4 4 18 20 40 48
Figure 4 — Elastic vs inelastic demand diagram: a 20% price rise from £40 to £48 cuts quantity from 20 to 18 on the steep curve (PED −0.5) and from 20 to 4 on the flat one (PED −4).

5. An indirect tax: incidence, revenue and deadweight loss

Use it for any tax question, sugar levy to fuel duty. Shift supply up by the tax. Read the buyer’s price off demand and the seller’s price off the old supply curve. The rectangle between them, out to the new quantity, is revenue. The triangle to its right is the deadweight loss.

Indirect tax: incidence, revenue and deadweight loss Price (£) Quantity 0 tax £12 tax revenue £192 D S S + tax Q₂ = 16 Q₁ = 20 48 40 36
Figure 5 — Indirect tax diagram: a £12 tax cuts quantity from 20 to 16; buyers pay £48 and sellers keep £36, so buyers carry £8 of the tax (the upper part of the revenue rectangle, £128) and sellers £4 (the lower part, £64); the small shaded triangle to the right is the deadweight loss, £24.

Mark scheme: The split of the tax depends on the slopes. The steeper side pays more. Here demand is twice as steep as supply, so buyers pay two thirds. Say that in the answer and you have turned a diagram mark into an analysis mark.

6. A negative production externality

Use it for pollution, congestion, anything where production hurts a third party. Supply is MPC. Draw MSC parallel and above it by the external cost. The market settles where MPB meets MPC. Society wants MSB equal to MSC. The triangle between them is the welfare loss.

Negative production externality diagram (MSC above MPC, welfare loss) Price (£) Quantity 0 external cost £10 a unit A B DWL MSC MPC = S D = MPB = MSB Q₂ = 20 Q₁ = 25 P₁ = 35 P₂ = 40
Figure 6 — Negative production externality diagram: the market produces 25 units at £35, the social optimum is 20 units at £40, and the welfare-loss triangle is worth £25.

7. A positive consumption externality

Use it for vaccines, education, public transport. Demand is MPB. Draw MSB above it by the external benefit. The market under-consumes. The triangle between MSB and MSC from the market quantity to the optimum is the welfare gain a subsidy could capture.

Positive consumption externality diagram (MSB above MPB, under-consumption) Price (£) Quantity 0 external benefit £10 a unit A B gain MSB D = MPB S = MPC = MSC Q₁ = 20 Q₂ = 25 P₁ = 40 P₂ = 45
Figure 7 — Positive consumption externality diagram: the market consumes 20 units at £40, the social optimum is 25 units at £45, and the unclaimed welfare gain is £25.

8. A maximum price

Use it for rent caps and the energy price cap. Draw the ceiling as a horizontal line below equilibrium. Read quantity demanded and quantity supplied off it. The gap is the shortage. Only the ceiling below equilibrium does anything.

Maximum price below equilibrium: shortage (excess demand) Price (£) Quantity 0 shortage 20 E P max D S Qs = 10 Qe = 20 Qd = 30 40 30
Figure 8 — Maximum price diagram: a ceiling of £30 below the £40 equilibrium raises quantity demanded to 30 and cuts quantity supplied to 10, a shortage of 20.

9. A minimum price

Use it for minimum unit pricing on alcohol, guaranteed farm prices, and the minimum wage in a labour market. Draw the floor above equilibrium. The gap between quantity supplied and quantity demanded is the surplus.

Minimum price above equilibrium: surplus (excess supply) Price (£) Quantity 0 surplus = 20 E P min D S Qd = 10 Qe = 20 Qs = 30 40 50
Figure 9 — Minimum price diagram: a floor of £50 above the £40 equilibrium cuts quantity demanded to 10 and raises quantity supplied to 30, a surplus of 20.

10. Short-run cost curves

Use it whenever a question mentions diminishing returns, average cost or the shutdown point. One rule does most of the work: MC cuts AVC and ATC at their lowest points. AFC falls all the way, and the gap between ATC and AVC is exactly AFC.

Short-run cost curves: MC, AVC, ATC and AFC Cost per unit (£) Output 0 MC ATC AVC AFC min AVC min ATC 3 4.2 11 22
Figure 10 — Short-run cost curves diagram: MC bottoms out at 2 units (£8), cuts AVC at its minimum (3 units, £11) and ATC at its minimum (about 4.2 units, £22); AFC falls throughout.

11. Perfect competition in the short run

Use it when a firm in a competitive market earns supernormal profit. Price is a horizontal line, AR = MR. The firm produces where MC meets it. Profit is the rectangle between price and ATC, out to that quantity.

Perfect competition: short-run supernormal profit Cost, revenue (£) Output 0 supernormal profit £60 AR = MR = P MC ATC Q* = 5 35 23
Figure 11 — Perfect competition short-run diagram: price £35, output 5 where MC = MR, ATC £23, supernormal profit £60.

12. Monopoly

Use it for any single-seller question, and for the welfare case against monopoly. Draw AR falling and MR twice as steep. Output is where MR meets MC. Price is read up to AR, never off MR. The profit rectangle sits between price and AC. The deadweight loss is the triangle out to where price would equal MC.

Monopoly: MC = MR, price on AR, supernormal profit and deadweight loss Price, cost (£) Quantity 0 profit £400 DWL Pm P = MC AR = D MR MC = AC Qm = 20 Qc = 40 40 20
Figure 12 — Monopoly diagram: MC = MR at 20 units, price £40 on AR, supernormal profit £400; a competitive market would sell 40 at £20, so the deadweight loss is £200.

Common mistake: Reading the monopoly price off the point where MR meets MC. That point gives the quantity only. Go straight up to the demand curve for the price.

13. The kinked demand curve

Use it to explain why oligopoly prices stay put. Above the current price demand is elastic, because rivals will not follow a rise. Below it demand is inelastic, because they will follow a cut. The kink puts a vertical gap in MR. Any MC curve through the gap gives the same output and price, so costs can change and price does not. AQA and OCR name it in the specification; Edexcel does not.

Kinked demand curve: why oligopoly prices are sticky Price, cost (£) Quantity 0 kink D (elastic above the kink) D (inelastic) MR MR gap MC₂ MC₁ Q = 20 40
Figure 13 — Kinked demand curve diagram: the kink at 20 units and £40 leaves a gap in MR from £20 to £10; MC₁ and MC₂ both pass through it, so price stays at £40.

Macroeconomics diagrams for A Level: AD/AS, policy and trade

14. AD, SRAS and a classical LRAS

Use it as the base macro diagram. Price level on the vertical axis, real GDP on the horizontal. AD slopes down, SRAS slopes up, LRAS is vertical at full-employment output. When all three meet at one point, the economy is in long-run equilibrium with no output gap.

AD, SRAS and vertical LRAS: long-run macroeconomic equilibrium Price level Real GDP 0 E LRAS AD SRAS Y = Y₍fe₎ = 80 120
Figure 14 — Classical AD/AS diagram: AD and SRAS meet at real GDP 80 and price level 120, exactly on the vertical LRAS, so there is no output gap.

15. The Keynesian AS curve

Use it when a question mentions spare capacity, a recession, or why a demand boost might not cause inflation. The curve is flat when there is slack, bends upward as bottlenecks appear, and goes vertical at full employment. Equilibrium to the left of the vertical part is a negative output gap.

Keynesian AS curve: equilibrium below full employment Price level Real GDP 0 output gap E spare capacity: AS flat AS (Keynesian) AD Y = 80 Y₍fe₎ = 100 116
Figure 15 — Keynesian AS diagram: AD meets the flat-then-vertical AS at real GDP 80 and price level 116, an output gap of 20 below full employment at 100.

16. A shift in AD

Use it for any demand-side change: a rate cut, a tax cut, a fall in confidence, a rise in exports. Draw AD₂ parallel to AD₁, arrow it, and mark both equilibria on SRAS. Real GDP and the price level move together. Say which one the question cares about.

AD shift right: higher real GDP and a higher price level Price level Real GDP 0 E₁ E₂ LRAS AD₁ AD₂ SRAS Y₁ = 80 Y₂ = 90 Y₍fe₎ 120 130
Figure 16 — AD shift diagram: AD₁ to AD₂ along SRAS raises real GDP from 80 to 90 and the price level from 120 to 130, still short of full employment at 100.

17. A shift in LRAS

Use it for supply-side policy and long-run growth. LRAS moves right. Along a fixed AD, output rises and the price level falls. That pairing is the whole supply-side argument in one picture.

LRAS shift right: supply-side policy raises output and lowers the price level Price level Real GDP 0 E₁ E₂ LRAS₁ LRAS₂ AD 80 100 120 100
Figure 17 — LRAS shift diagram: potential output rises from 80 to 100 and the price level falls from 120 to 100 along an unchanged AD.

18. Short-run and long-run Phillips curves

Use it for the inflation-unemployment trade-off and why it fades. Start at A on the long-run curve. A demand boost moves the economy up the short-run curve to B: less unemployment, more inflation. Once people expect the higher inflation, the short-run curve shifts up and the economy lands at C, back at the natural rate with higher inflation.

Short-run and long-run Phillips curves Inflation (%) Unemployment (%) 0 A B C LRPC SRPC₁ (πᵉ = 2%) SRPC₂ (πᵉ = 4%) 2.5 u* = 5 2 4
Figure 18 — Phillips curve diagram: A (5% unemployment, 2% inflation) to B (2.5%, 4%) along SRPC₁, then to C (5%, 4%) on SRPC₂; the LRPC is vertical at the 5% natural rate.

19. The production possibility frontier

Use it for opportunity cost, unemployment and growth. A point on the curve is efficient. Inside it, resources are idle. Outside it is unattainable until the frontier moves. Draw the curve bowed outward: the opportunity cost of one more consumer good rises as you make more of them.

Production possibility frontier: efficient, inefficient, unattainable, and growth Capital goods Consumer goods 0 A: efficient B: unemployed resources C: unattainable on PPF₁ PPF₁ PPF₂ (growth) 40 50 30 37.5
Figure 19 — Production possibility frontier diagram: A is efficient on PPF₁, B is inside it with unemployed resources, C is unattainable until growth shifts the frontier out to PPF₂.

20. A tariff

Use it for protectionism. The world price is a horizontal line. Add the tariff on top. Domestic supply rises, demand falls, imports shrink. The rectangle over the remaining imports is government revenue. The two small triangles either side of it are the deadweight loss.

Tariff diagram: revenue and the two deadweight-loss triangles Price (£) Quantity 0 revenue £200 DWL DWL P w + t P w D S (domestic) 10 20 40 50 imports with tariff = 20 (were 40) 40 30
Figure 20 — Tariff diagram: a £10 tariff lifts the price from £30 to £40; imports fall from 40 to 20, revenue is £200 and the two deadweight-loss triangles total £100.

Mark scheme: The tariff diagram has four areas and evaluation lives in comparing them. Consumers lose £450. Producers gain £150, the government gains £200, and £100 disappears. Name the losers and the winners and you have your judgement.

FAQ

Q: Is this all the A Level economics diagrams I need?
A: Not yet. These 20 are the ones examiners set most. Twenty more are coming with the topic pages: the labour market, the money market, currency demand and supply, the J-curve, the multiplier, the Lorenz curve and the rest. Learn these first.

Q: Which diagrams come up most on the AQA A Level economics papers?
A: In Paper 1 the 9-mark question usually asks for one: externalities, tax, price controls or a market structure. In Paper 2 it is AD/AS in one form or another. The AQA examiners’ report for June 2023 named the negative production externality and a simple labour market diagram as the expected ones that year. See the AQA 7136 page for the paper structure.

Q: Which diagrams are in Edexcel A Level economics Paper 1?
A: Everything from Themes 1 and 3: diagrams 1 to 12 above, plus the labour market. Theme 2 and Theme 4 diagrams (14 to 18, 20) belong to Paper 2. Paper 3 can use any of them.

Q: How many marks are economics diagrams worth at A Level?
A: There is no fixed number. OCR’s short-answer questions cap at 4 marks. On AQA’s 9-markers the diagram is expected and, once explained, counts as analysis. On a 25-marker it is not required, but the AQA report says an accurate one gives the chain of reasoning focus.

Q: Do I need to shade the areas?
A: Only when the question is about an area: welfare loss, revenue, profit, surplus. Then yes, and label it. On a plain shift question, shading wastes time.

Q: Pen or pencil?
A: Pencil for the drawing, pen for the labels. You will want to move a curve, and a crossed-out diagram is hard to mark. Check your board’s front-cover instructions on the day.

Draw every one of these from memory in a week

If your diagrams are why your 9 and 25-markers stall, a few sessions on a shared whiteboard fix it: every diagram drawn live, corrected and kept. Tell me your board and the diagrams you cannot yet draw cold. The rate is on the A Level economics tutor page; the full topic map is on the A Level economics revision hub.

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