Hey Genies
Let’s talk about diagrams.
How do you include them in your answers?
Do you write your point, explain your answer, and then separately, in a completely different paragraph, draw your diagram and describe it without really linking it back to your initial point?
Like this:
Example 1: (What NOT to do)
Point (separate from diagram):
"When interest rates rise, the immediate effect is felt by consumers through the higher cost of borrowing. Loans for large-ticket items such as cars, homes, and durable goods become more expensive, causing consumers to cut back on spending. As borrowing becomes more expensive, consumption—a significant component of Aggregate Demand (AD)—falls.
With less spending, real output in the economy decreases as demand for goods and services drops. Businesses, especially those reliant on consumer discretionary spending, begin to feel the pressure of reduced demand. Reduced sales in key sectors, such as automotive and housing, lead to lower revenue for these firms. As a result, businesses may respond by cutting jobs or delaying investments in new projects. This further weakens economic activity as household incomes fall, leading to even lower consumption.
The broader impact of these changes is felt across the economy, affecting growth, inflation, and unemployment levels. While the increase in interest rates may help reduce inflation, the cost is slower economic growth, or even a contraction."
Separate Diagram paragraph:

"The Aggregate Demand curve shifts leftwards, from AD1 to AD2, representing the fall in overall demand due to reduced consumer spending and investment.
As AD shifts left, there is a corresponding decrease in real output, from Y1 to Y2, indicating a contraction in the economy’s output level.
The price level also falls, moving from PL1 to PL2, as reduced demand eases inflationary pressures."
It seems logical, right?
But there’s a problem: your diagram isn’t fully integrated into your explanation.
It feels like an afterthought, instead of being the backbone of your answer.
Here’s what you should be doing instead:
Diagrammatical Analysis—where the diagram drives your answer, not the other way around.
Example 2: (What to Do Instead)
"When interest rates rise, it immediately impacts the cost of borrowing for households and firms. Consumers, faced with more expensive loans, cut back on purchases such as cars, appliances, and holidays. This causes a reduction in overall consumption, which, in the AD/AS diagram, leads to a leftward shift of the AD curve.

But that’s not all.
Firms also react to higher interest rates by reducing their investment in capital goods, such as new machinery or technology upgrades, as the cost of financing these investments rises. This further reduces
Aggregate Demand, pushing the
AD curve from
AD1 to AD2 on the diagram.
As demand in the economy falls, businesses experience lower sales and revenues. To adjust, they may reduce production or cut jobs, further slowing down economic activity. This additional contraction in demand can cause a
multiplier effect, where the initial reduction in demand creates a further reduction in income, leading to even lower consumption and investment.
On the
AD/AS diagram, we now see
real output decrease from Y1 to Y2. Meanwhile, the price level falls from PL1 to PL2, showing a reduction in inflationary pressure.
However, the situation isn’t entirely positive. While inflation may be controlled, the decrease in real output and the possibility of job losses could push the economy into a slowdown or even a recession if AD continues to contract. This illustrates the
trade-off between controlling inflation and maintaining economic growth."
Why you need to incorporate diagrams like this:
- Clarity: Your explanation flows directly from the diagram, showing a deeper understanding of both the concept and its visual representation.
-
Precision: You aren’t just mentioning a diagram; you’re actively using it to explain and expand on the economic effects.
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Depth: This method shows examiners that you can handle complex analysis without waffling. It also naturally increases the number of links in your chain of reasoning.
By integrating diagrammatical analysis into your answers, you’ll automatically push your answers from Bs and Cs to As and A*s.
Key Takeaway:
- Don’t use diagrams as a separate part of your answer.
-
Embed diagrams in your analysis to show a deeper understanding.
-
Practice integrating them into your explanations for that A/A* grade!
Make sure every diagram is
fully embedded into your analysis, so you can show the depth of understanding that examiners are looking for.
Trust me, this method works every single time.
Cheers to making your answers diagram-driven!
With the right approach and techniques like I preach at
EdGenie, you will get there in no time.
If you want to join our Live A* Exam Technique and Question Practice Masterclasses, make sure you’re on EdGenie’s platform and come along every Tuesday and Thursday.
I’ll show you exactly how to master this.Let's smash those As and A*s!Emre 🧞♂️