West Windsor-Plainsboro Regional School District Economics Social Problems in American Society Grades 9-12

Transcription

1 West Windsor-Plainsboro Regional School District Economics Social Problems in American Society Grades 9-12

2 Unit 1: Fundamentals of Economics Content Area: Social Studies Course & Grade Level: Economic & Social Problems In American Society, 9 12 Summary and Rationale Introduction Economics has often been referred to as the dismal science for its emphasis on theory and esoteric jargon. This course seeks to dispel this myth by providing students with a real connection between the discipline and their daily lives. Life is about the choices people make and the effects these choices bring. What is often overlooked is the fact that economics is the primary force that motivates people in their daily decision making. If students are given the opportunity to discuss and analyze economic theory they will be prepared to make more informed decisions in their lives. In order to stimulate discussion and debate as well as higher order thinking, the course shall utilize a wide array of sources and instructional approaches. It is important that we are diligent in our efforts to help students be educated and responsible citizens. In offering a course of this kind, it is our intent that the experience they will have shall contribute toward this goal. Unit 1 will provide an overview of basic economic principles and how they impact every citizen. Students will understand how scarcity and opportunity costs drive economic decisions and how societies meet the needs and wants of their people. Concepts such as the invisible hand, comparative advantage and outsourcing will be discussed so that students will be able to connect theory to current economic trends. Recommended Pacing 25 days State Standards 6.1 U.S. History: America in the World. All students will acquire the knowledge and skills to think analytically about how past and present interactions of people, cultures, and the environment shape the American heritage. Such knowledge and skills enable students to make informed decisions that reflect fundamental rights and core democratic values as productive citizens in local, national, and global communities. 6.3 Active Citizenship in the 21st Century. All students will acquire the skills needed to be active, informed citizens who value diversity and promote cultural understanding by working collaboratively to address the challenges that are inherent in living in an interconnected world. 9.2 Personal Financial Literacy. All students will develop skills and strategies that promote personal and financial responsibility related to financial planning, savings, investment and charitable giving in the global economy. CPI # Cumulative Progress Indicator (CPI) C.2.b Explain the effects of inflation, debt, and attempts by new state and national governments to rebuild the economy by addressing issues of foreign and internal trade, banking, and taxation C.3.a Analyze how technological developments transformed the economy, created international markets, and affected the environment in New Jersey and the nation. CPI # C.5.a C.5.b C.5.c Cumulative Progress Indicator (CPI) Analyze the economic practices of various business organizations (i.e., corporations and monopolies) regarding the production and marketing of goods, and explain the positive or negative impact of these practices on the nation and on individuals. Compare and contrast economic development of the North, South, and West in the post Civil War period. Analyze the cyclical nature of the economy and the impact of periods of expansion and recession on businesses and individuals.

3 A A A B E E F G10 Identify a career goal and develop a plan and timetable for achieving it, including educational/training requirements, costs, and possible debt. Summarize the financial risks and benefits of entrepreneurship as a career choice. Analyze how personal and cultural values impact spending and other financial decisions. Prioritize financial decisions by systematically considering alternatives and possible consequences. Determine how objective, accurate, and current financial information affects the prioritization of financial decisions. Evaluate business practices and their impact on individuals, families, and societies. Analyze how citizen decisions and actions can influence the use of economic resources to achieve societal goals and provide individual services. Determine when and why it may be appropriate for the government to provide insurance coverage, rather than private industry. Instructional Focus Unit Enduring Understandings There are common financial risks and ways to manage risks. The potential for building and using personal wealth includes responsibility to the broader community and an understanding of the legal rights and responsibilities of being a good citizen. The ability to prioritize wants and needs assists in making informed investments, purchases, and decisions. Money management involves setting financial goals. Money management is reliant on developing and maintaining personal budgets. Educational achievement, career choice, and entrepreneurial skills all play a role in achieving a desired lifestyle. Unit Essential Questions Do most of our possessions fall into the need category or the want category? Is scarcity a problem in the U.S.? Does the U.S. government make decisions that involve tradeoffs? Does your local government make decisions that involve tradeoffs? Does immigration affect a production possibility curve? Are any of the five basic economic goals more important than the others? Which additional goals should be added to the five basic economic goals? How do economic goals vary among the four economic systems? Why is economic equity difficult to achieve in a free market economy? Is some government intervention in the economy necessary? Would Adam Smith be pleased with the organization of the U.S. economy? Are the theories of the classical economists still relevant in today s complex economy? Who has more power in our economy, the producer or the consumer? Why do centrally planned economies have difficulty meeting consumer needs? Do workers have any incentives in a centrally planned economy? Should the U.S. be called a mixed economy? Objectives

4 Students will know and be able to: Distinguish between a need and a want Evaluate the factors of production and discuss the limitations of resources Analyze the significance of decision making and explain the difference between tradeoffs and opportunity costs Create a production possibilities graph Read and analyze the information on production possibilities frontier Examine the costs of switching types of production within a market Identify factors which could cause production to shift to the left or the right Discuss the three basic economic questions and analyze their relevance to universal economic goals Define a market and explain its importance within society Read and analyze the theories of Adam Smith and discuss their relevance in today s world Identify the advantages in a free market Examine the Socialist and Communists systems and their functions in Centrally Planned Economies Discuss the limits of the laissez faire doctrine and the rise of mixed economies Resources Core Text: Economics: Principles in Action (Pearson, Prentice Hall). Suggested Resources: Naked Economics: Undressing the Dismal Science by Charles Wheelan Economics by Example by David Anderson

5 Unit 2: Free Enterprise National and State Perspectives Content Area: Social Studies Course & Grade Level: Economic & Social Problems In American Society, 9 12 Summary and Rationale Unit 2 will provide students with the opportunity to understand the extent to which local and state governments influence the economy. Emphasis will be placed on the degree to which government intervention is desirable and how interest groups can impact regulation. Students will also be able to analyze and discuss the changes that have occurred over the last 50 years to the New Jersey economy. Recommended Pacing 20 days State Standards 6.1 U.S. History: America in the World. All students will acquire the knowledge and skills to think analytically about how past and present interactions of people, cultures, and the environment shape the American heritage. Such knowledge and skills enable students to make informed decisions that reflect fundamental rights and core democratic values as productive citizens in local, national, and global communities. 6.3 Active Citizenship in the 21st Century. All students will acquire the skills needed to be active, informed citizens who value diversity and promote cultural understanding by working collaboratively to address the challenges that are inherent in living in an interconnected world. 9.2 Personal Financial Literacy: All students will develop skills and strategies that promote personal and financial responsibility related to financial planning, savings, investment, and charitable giving in the global economy. CPI # C.11. a C.11. b C.12. a C.12. c C.12. d A A E E F G.10 Cumulative Progress Indicator (CPI) Apply opportunity cost and trade offs to evaluate the shift in economic resources from the production of domestic to military goods during World War II, and analyze the impact of the postwar shift back to domestic production. Relate new wartime inventions to scientific and technological advancements in the civilian world. Explain the implications and outcomes of the Space Race from the perspectives of the scientific community, the government, and the people. Analyze how scientific advancements impacted the national and global economies and daily life. Assess the role of the public and private sectors in promoting economic growth and ensuring economic stability. Explain the relationship between government programs and services and taxation. Explain how compulsory government programs (e.g., Social Security, Medicare) provide insurance against some loss of income and benefits to eligible recipients. Evaluate business practices and their impact on individuals, families, and societies. Apply consumer protection laws to the issues they address. Explain the concept and forms of taxation and justify the use of taxation to fund public activities and initiatives. Determine when and why it may be appropriate for the government to provide insurance coverage,.

6 rather than private industry. Instructional Focus Unit Enduring Understandings Insurance is designed to protect the consumer against unintended losses. Philanthropic, charitable, and entrepreneurial organizations play distinctly different but vitally important roles in supporting the interests of local and global communities. Consumer protection includes providing information about the range of products and services and about consumer resources, rights, and responsibilities. Income often comes from different sources, including alternative sources. Unit Essential Questions Are the likes of Elizabeth Warren and Ralph Nader important to the public interest? Should interest groups be banned from the political arena? Does the government do an adequate job protecting consumers? Is our national government doing enough to combat the ills of poverty? Is the state of N.J. doing enough to combat the ills of poverty? Should welfare be abolished? Have recent changes in the welfare system made a positive difference? Are the characters in Hoop Dreams doomed to a life in the ghetto? Is the criminal justice system a public good? Does N.J. have an overabundance of negative externalities? Should polluters determine the extent of toxic waste cleanup? Are macroeconomic goals of employment, growth and stability best met by the public sector or the private sector? Do the luxuries of living in N.J. outweigh the drawbacks? Is the housing market in N.J. too expensive? Is the state doing enough to combat sprawl? Should N.J. try to keep manufacturing jobs? Does N.J. s economy embrace the five economic goals? Does N.J. s status as the state with the highest average household income accurately reflect the living standards of all its residents? Objectives Students will know and be able to: Evaluate the purpose of public policy, interest groups and public disclosure laws Follow the changing focus on public interest in the last few decades Analyze the reasons for poverty in a free market economy and role of government in alleviating it Identify and discuss the types of cash transfers which exist in the U.S. economy Debate the current structure of the welfare system and any proposals made to further reform it Identify several examples of public goods and the forces which make them possible Distinguish between positive and negative externalities and identify examples of both in N.J Explain the differences between Micro and Macroeconomics Analyze and discuss current sources on the state of N.J. s economy Resources Core Text: Economics: Principles in Action (Pearson, Prentice Hall). Suggested Resources: Naked Economics: Undressing the Dismal Science by Charles Wheelan

7 Unit 3: Market Functions Content Area: Social Studies Course & Grade Level: Economic & Social Problems In American Society, 9 12 Summary and Rationale Unit 3 will enable students to understand the forces of supply and demand and how they impact decisions made in their daily lives. Concepts such as elasticity, equilibrium, variable costs and diminishing returns will provide students with an opportunity to evaluate numbers and make decisions that reflect realistic business scenarios. Emphasis will also be placed on students creating supply and demand curves and analyzing trends in the marketplace. Recommended Pacing 25 days State Standards 6.1 U.S. History: America in the World. All students will acquire the knowledge and skills to think analytically about how past and present interactions of people, cultures, and the environment shape the American heritage. Such knowledge and skills enable students to make informed decisions that reflect fundamental rights and core democratic values as productive citizens in local, national, and global communities. 6.3 Active Citizenship in the 21st Century. All students will acquire the skills needed to be active, informed citizens who value diversity and promote cultural understanding by working collaboratively to address the challenges that are inherent in living in an interconnected world. 9.2 Personal Financial Literacy: All students will develop skills and strategies that promote personal and financial responsibility related to financial planning, savings, investment, and charitable giving in the global economy. CPI # C.5.a C.6.a C.6.b CPI # C.8.a C.8.b A A B E F G.1 Cumulative Progress Indicator (CPI) Analyze the economic practices of various business organizations (i.e., corporations and monopolies) regarding the production and marketing of goods, and explain the positive or negative impact of these practices on the nation and on individuals. Evaluate the effectiveness of labor and agricultural organizations in improving economic opportunities for various groups. Determine how supply and demand influenced price and output. Cumulative Progress Indicator (CPI) Analyze the push pull factors that led to the Great Migration. Relate social, cultural, and technological changes in the interwar period to the rise of a consumer economy and the changing role and status of women. Analyze how the economic, social, and political conditions of a time period can affect starting a business and can affect a plan for establishing such an enterprise. Summarize the financial risks and benefits of entrepreneurship as a career choice. Prioritize financial decisions by systematically considering alternatives and possible consequences. Evaluate how media, bias, purpose, and validity affect the prioritization of consumer decisions and spending. Analyze how citizen decisions and actions can influence the use of economic resources to achieve societal goals and provide individual services. Analyze risks and benefits in various financial situations.

8 Instructional Focus Unit Enduring Understandings There are common financial risks and ways to manage risks. Philanthropic, charitable, and entrepreneurial organizations play distinctly different but vitally important roles in supporting the interests of local and global communities. Cost benefit analysis informs responsible spending practices. Money management involves setting financial goals. Educational achievement, career choice, and entrepreneurial skills all play a role in achieving a desired lifestyle. Unit Essential Questions Are there exceptions to the law of demand? Will there always be a demand for inferior goods? Will current demographic trends radically shift demand patterns for products? Should advertisers be more closely regulated by the government? Is demand for some products always inelastic? Have gas prices significantly affected consumer taste in cars? Do recent gentrification and renaissance projects in Trenton accurately reflect the law of supply? Can the law of supply create tensions in the workplace? Can some employees be considered variable costs? Are there times when a money losing business should be kept open? Are baseball players paid too much? Do subsidies stifle free trade and competition? Have excise taxes on cigarettes been an effective deterrent on smoking? Will market forces always correct disequilibrium? Do the benefits of ending rent control exceed the costs? Is the current minimum wage too low? Has the internet affected price equilibrium? Has the Dell Direct approach affected other industries? Would Adam Smith approve of rationing? Objectives Students will know and be able to: Explain the law of demand and create a demand schedule with a demand curve Analyze the influence of the substitution and income effect on consumer decisions Identify and discuss the factors which cause a shift in a demand curve Define elasticity of demand and distinguish between inelastic and elastic goods Identify and discuss the factors which affect elasticity Calculate elasticity of demand and total revenue Explain the law of supply and create a supply schedule with a supply curve Analyze the relationship between elasticity of supply and time Examine how companies figure desirable labor and production levels Provide scenarios which explain increasing and diminishing marginal returns Identify and discuss the various types of production costs Analyze and discuss the effects of subsidies on the marketplace Distinguish between equilibrium and disequilibrium Evaluate the intervention efforts of the government in regard to prices

9 Explain changes in equilibrium on a drawn curve Identify and discuss the advantages in a price based system Resources Core Text: Economics: Principles in Action (Pearson, Prentice Hall). Suggested Resources: Naked Economics: Undressing the Dismal Science by Charles Wheelan

10 Unit 4: Market Structures Content Area: Social Studies Course & Grade Level: Economic & Social Problems In American Society, 9 12 Summary and Rationale Unit 4 will provide students with an overview of market structures and their role in our economic system. Emphasis will be placed on the extent to which competition in markets affects innovation, production and entrepreneurism. In addition, students will be given the opportunity to analyze and discuss anti trust cases and debate the extent to which the government should regulate business activity. Recommended Pacing 20 days State Standards 6.1 U.S. History: America in the World. All students will acquire the knowledge and skills to think analytically about how past and present interactions of people, cultures, and the environment shape the American heritage. Such knowledge and skills enable students to make informed decisions that reflect fundamental rights and core democratic values as productive citizens in local, national, and global communities. 6.3 Active Citizenship in the 21st Century. All students will acquire the skills needed to be active, informed citizens who value diversity and promote cultural understanding by working collaboratively to address the challenges that are inherent in living in an interconnected world. 9.2 Personal Financial Literacy: All students will develop skills and strategies that promote personal and financial responsibility related to financial planning, savings, investment, and charitable giving in the global economy. CPI # C.5.a D.5.a A D E F.8 Standard x.x CPI # Cumulative Progress Indicator (CPI) Analyze the economic practices of various business organizations (i.e., corporations and monopolies) regarding the production and marketing of goods, and explain the positive or negative impact of these practices on the nation and on individuals. Analyze government policies and other factors that promoted innovation, entrepreneurship, and industrialization in New Jersey and the United States during this period. Summarize the financial risks and benefits of entrepreneurship as a career choice. Compare and contrast the past and present role of government in the financial industry and in the regulation of financial markets. Evaluate business practices and their impact on individuals, families, and societies. Evaluate the effects of entrepreneurship on economic stability and quality of living in local and global communities. Cumulative Progress Indicator (CPI) Instructional Focus Unit Enduring Understandings Educational achievement, career choice, and entrepreneurial skills all play a role in achieving a desired lifestyle. Cost benefit analysis informs responsible spending practices. Appropriate application of basic economic principles leads to wiser decisions for individual, family, and

11 business financial planning. Philanthropic, charitable, and entrepreneurial organizations play distinctly different but vitally important roles in supporting the interests of local and global communities. Unit Essential Questions Must perfectly competitive markets always deal in commodities? Is public education a natural monopoly? Are monopolies necessary in some markets? Was the government right to bring suit against Microsoft? Should collusion and cartels be illegal? Has government deregulation of markets brought positive results? Should the government regulate the cable television industry? Objectives Students will know and be able to: Evaluate the conditions for perfect competition Discuss the changes in perfectly competitive markets due to start up costs Define monopoly and analyze how economies of scale lend themselves to natural monopolies Identify and discuss the various types of monopolies which exist Debate the necessity of monopolies in certain markets Analyze the monopolist s dilemma Evaluate the practice of price discrimination and identify the limits which affect it Analyze and debate the government s case against Microsoft Define monopolistic competition and identify the conditions which lead to its development Explain the forms of non price competition Define Oligopoly and evaluate the practices of price leadership, collusion, and cartels Evaluate the purpose of government antitrust laws and provide examples of disbanded monopolies Analyze the positive and negative effects brought about by government deregulation of industries Resources Core Text: Economics: Principles in Action (Pearson, Prentice Hall) Suggested Resources: Economics by Example by David Anderson

12 Unit 5: Business and Labor Content Area: Social Studies Course & Grade Level: Economic & Social Problems In American Society, 9 12 Summary and Rationale Unit 5 explores economic growth and expansion through the different types of business organizations. From sole proprietorships to franchises, entrepreneurism has long been the engine of economic innovation. Through this unit students will become better acquainted with the various types of opportunities that exist to initiate business activity and be provided with templates that show the ease of start up. The unit will also examine the growing influence of conglomerates and big box entities such as Walmart and whether or not their market power is good or bad for the American economy. Recommended Pacing 20 days State Standards 6.1 U.S. History: America in the World. All students will acquire the knowledge and skills to think analytically about how past and present interactions of people, cultures, and the environment shape the American heritage. Such knowledge and skills enable students to make informed decisions that reflect fundamental rights and core democratic values as productive citizens in local, national, and global communities. 6.3 Active Citizenship in the 21st Century. All students will acquire the skills needed to be active, informed citizens who value diversity and promote cultural understanding by working collaboratively to address the challenges that are inherent in living in an interconnected world. 9.2 Personal Financial Literacy: All students will develop skills and strategies that promote personal and financial responsibility related to financial planning, savings, investment, and charitable giving in the global economy. CPI # Cumulative Progress Indicator (CPI) C.9.a Explain how government can adjust taxes, interest rates, and spending and use other policies to restore the country s economic health C.9.b Explain how economic indicators (i.e., gross domestic product, the consumer index, the national debt, and the trade deficit) are used to evaluate the health of the economy C.9.c Explain the interdependence of various parts of a market economy A.1 Analyze the relationship between various careers and personal earning goals A.2 Identify a career goal and develop a plan and timetable for achieving it, including educational/training requirements, costs, and possible debt A.3 Analyze how the economic, social, and political conditions of a time period can affect starting a business and can affect a plan for establishing such an enterprise A.4 Summarize the financial risks and benefits of entrepreneurship as a career choice B.1 Prioritize financial decisions by systematically considering alternatives and possible consequences C.8 Evaluate the implications of personal and corporate bankruptcy for self and others E.4 Evaluate business practices and their impact on individuals, families, and societies. Instructional Focus Unit Enduring Understandings Educational achievement, career choice, and entrepreneurial skills all play a role in achieving a desired

13 lifestyle. Money management involves setting financial goals. Credit worthiness is dependent on making informed credit decisions and managing debt responsibly. Cost benefit analysis informs responsible spending practices. Unit Essential Questions Is it difficult to open a sole proprietorship? Do West Windsor and Plainsboro have strict zoning laws? Do the benefits of opening a business outweigh the risks? Do the advantages of partnerships outweigh the disadvantages? Would any local sole proprietorships benefit from incorporation? Do the advantages of incorporation outweigh the disadvantages? Has the spread of multi national corporations helped living conditions in poorer nations Do the advantages of owning a franchise outweigh the disadvantages? Do professional and business associations benefit consumers? Is it important to have labor unions in the marketplace? Are unions as influential as they once were? Should government employees be allowed to strike? Should affirmative action in the workplace be outlawed? Are contingent workers a significant force in our marketplace? Have the cost of benefits altered the way employers structure their companies? Is N.J. keeping up with national labor market trends? Should the U.S. ban juice imports from Brazil? Objectives Students will know and be able to: Identify and discuss the advantages and disadvantages of sole proprietorships Identify and discuss the advantages and disadvantages of partnerships Identify and discuss the advantages and disadvantages of incorporation Evaluate whether the advantages of franchises outweigh the drawbacks Evaluate the functions of cooperatives, nonprofit organizations and professional organizations Resources Core Text: Economics: Principles in Action (Pearson, Prentice Hall). Suggested Resources: Naked Economics: Undressing the Dismal Science by Charles Wheelan

14 Unit 6: Money, Banking and Finance Content Area: Social Studies Course & Grade Level: Economic & Social Problems In American Society, 9 12 Summary and Rationale Unit 6 will offer students the opportunity to understand the complexities of saving and investing and how to best manage risk and utilize various instruments to build wealth and security. The unit will compare and contrast the underlying causes of the Great Depression and efforts applied to remedy it with the Wall Street collapse of In addition, students will be able to analyze and discuss the role of the SEC and the extent to which financial institutions should be regulated. Recommended Pacing 25 days State Standards 6.3 Active Citizenship in the 21st Century. All students will acquire the skills needed to be active, informed citizens who value diversity and promote cultural understanding by working collaboratively to address the challenges that are inherent in living in an interconnected world. 9.2 Personal Financial Literacy: All students will develop skills and strategies that promote personal and financial responsibility related to financial planning, savings, investment, and charitable giving in the global economy. CPI # Cumulative Progress Indicator (CPI) C.1 Develop and implement a group initiative that addresses an economic issue impacting children. CPI # A B B B B C D D D D D D D.8 Cumulative Progress Indicator (CPI) Analyze and critique various sources of income and available resources (e.g., financial assets, property, and transfer payments) and how they may substitute for earned income. Design and utilize a simulated budget to monitor progress of financial plans. Develop personal financial planning strategies that respond to and use tax deductions and shelters. Chart and evaluate the growth of mid and long term investments. Develop a plan that uses the services of various financial institutions to meet personal and family financial goals. Compare and contrast the financial benefits of different products and services offered by a variety of financial institutions. Summarize how investing builds wealth and assists in meeting long and short term financial goals. Assess factors that influence financial planning. Justify the use of savings and investment options to meet targeted goals. Analyze processes and vehicles for buying and selling investments. Compare the risk, return, and liquidity of various savings and investment alternatives. Relate savings and investment results to achievement of financial goals. Differentiate among various investment products and savings vehicles and how to use them most effectively.

15 D D E F G.1 Determine the impact of various market events on stock market prices and on other savings and investments. Evaluate how taxes affect the rate of return on savings and investments. Analyze and apply multiple sources of financial information when prioritizing financial decisions. Demonstrate an understanding of the interrelationships among attitudes, assumptions, and patterns of behavior regarding money, saving, investing, and work across cultures. Analyze risks and benefits in various financial situations. Instructional Focus Unit Enduring Understandings Income often comes from different sources, including alternative sources Money management is reliant on developing and maintaining personal budgets. Money management requires understanding of cash flow systems and business practices. Credit management includes making informed choices about sources of credit and requires an understanding of the cost of credit. Information about investment options assists with financial planning. Appropriate application of basic economic principles leads to wiser decisions for individual, family, and business financial planning The ability to prioritize wants and needs assists in making informed investments, purchases, and decisions. The potential for building and using personal wealth includes responsibility to the broader community and an understanding of the legal rights and responsibilities of being a good citizen. There are common financial risks and ways to manage risks. Unit Essential Questions Would smartcards be more beneficial than traditional currency? Should the production of pennies be stopped? Has the U.S. done an adequate job in safeguarding its currency from counterfeiters? Is it important to have a common currency? Is it important to have a central banking system? Is there any truth to Gresham s law? Should credit cards be more difficult to attain? Does the fractional reserve system help to stimulate the economy? Do the benefits offered by large banks outweigh the drawback? Are mutual funds a good way to invest conservatively? Can CD s ever be redeemed before maturity without penalty? Does income level affect a person s investment mentality? Do the advantages of bond investment outweigh the disadvantages? Is the Dow an accurate indicator of the marketplace? Will the role of the common stock broker soon be obsolete? Has the SEC lived up to its role? Has the market adequately safeguarded itself from another crash? Should the Enron executives be given the maximum penalties for their actions? Objectives Students will know and be able to: Evaluate the three uses of money

16 Identify and discuss the six characteristics of money Assess early efforts to establish a banking system in the U.S Read and analyze sources which detail reforms in banking through the 20th century Distinguish between M1 and M2 money supplies Evaluate the services that banks provide to consumers Create a visual which demonstrates an understanding of fractional reserve banking Identify and discuss the various types of financial intermediaries Explain how one can diversify their investments Identify and discuss the three components of bonds Analyze the positives and negatives of different types of bonds and other financial assets Assess the benefits and risks of buying stock Distinguish between a bull and bear market Assess the importance of the DOW industrial average Discuss efforts to regulate investment in various markets Resources Core Text: Economics: Principles in Action (Pearson, Prentice Hall). Suggested Resources: Naked Economics: Undressing the Dismal Science by Charles Wheelan

17 Unit 7: Measuring Economic Performance Content Area: Social Studies Course & Grade Level: Economic & Social Problems In American Society, 9 12 Summary and Rationale Unit 7 will provide students with an overview of business cycles, job growth and unemployment. The last half century has witnessed a significant upheaval of manufacturing jobs and a restructuring of the American work force. These changes have brought about many new opportunities for growth but have also left many chronically unemployed. This unit will evaluate and discuss these patterns of change and offer students the opportunity to debate the extent to which companies should be blamed for urban decay and unemployment. Students will also be able to analyze current safety net policies and explain whether or not they feel they are adequate. Recommended Pacing 20 days State Standards 6.3 Active Citizenship in the 21st Century. All students will acquire the skills needed to be active, informed citizens who value diversity and promote cultural understanding by working collaboratively to address the challenges that are inherent in living in an interconnected world. 9.2 Personal Financial Literacy: All students will develop skills and strategies that promote personal and financial responsibility related to financial planning, savings, investment, and charitable giving in the global economy. CPI # Cumulative Progress Indicator (CPI) C.1 Participate in a real or simulated hearing about a social issue with a related economic impact (e.g., growing health care costs, immigration), and justify conclusions after weighing evidence from multiple experts and stakeholders C.1 Contact local officials and community members to obtain information about the local school district or municipal budget and assess budget priorities C.1 Develop and implement a group initiative that addresses an economic issue impacting children A.3 Analyze how the economic, social, and political conditions of a time period can affect starting a business and can affect a plan for establishing such an enterprise A.10 Explain the relationship between government programs and services and taxation A.11 Explain how compulsory government programs (e.g., Social Security, Medicare) provide insurance against some loss of income and benefits to eligible recipients A.12 Analyze the impact of the collective bargaining process on benefits, income, and fair labor practice B.4 Analyze how income and spending plans are affected by age, needs, and resources E.4 Evaluate business practices and their impact on individuals, families, and societies F.6 Compare and contrast the role of philanthropy, volunteer service, and charities in community development and quality of life in a variety of cultures F.8 Evaluate the effects of entrepreneurship on economic stability and quality of living in local and global communities G.10 Determine when and why it may be appropriate for the government to provide insurance coverage, rather than private industry. Standard x.x

18 Instructional Focus Unit Enduring Understandings Educational achievement, career choice, and entrepreneurial skills all play a role in achieving a desired lifestyle. Taxes and the cost of employee benefits can affect the amount of disposable income. Money management is reliant on developing and maintaining personal budgets. Cost benefit analysis informs responsible spending practices. Philanthropic, charitable, and entrepreneurial organizations play distinctly different but vitally important roles in supporting the interests of local and global communities. Insurance is designed to protect the consumer against unintended losses. Unit Essential Questions Are there significant limitations on the measurement of GDP? Is GDP the most effective measure of economic growth? Do business cycles significantly influence people s spending and borrowing habits, incomes, and employment? Are government tax rebate programs a good way to stimulate a sagging economy? Is it difficult to predict changes in the business cycle? Is real GDP per capita a good way to assess quality of life? Should stress in the workplace be considered a serious medical issue? Is our labor force having trouble keeping up with the new technology that drives our economy? According to some economists, is there a positive side to unemployment? Has structural unemployment radically affected N.J. s economy in the last two decades? Does everyone experience frictional unemployment at some time? Is it rare for the market to reach full employment? Are unemployment statistics completely accurate? Should the U.S. hang on to jobs where it no longer has a comparative advantage? Is there a proper protocol when laying off a worker? Did GM owe more to its workers in Flint? Is NAFTA a good idea? Has the purchasing power of Americans improved over the last 50 years? Does inflation hurt some groups more than others? Do all inflation theories have validity? Do bequests and assortative mating have any influence on the distribution of income? Is there such a thing as a welfare trap? Objectives Students will know and be able to: Distinguish between GDP and GNP Evaluate the difference between real and nominal GDP and discuss the limitations of GDP as a whole Identify and discuss influences on GDP Explain the various components within a business cycle Analyze and discuss the factors which keep a business cycle going Analyze and discuss the effects of capital deepening Evaluate the relationship between GDP and overall quality of life Assess the key sources of economic growth Identify the various types of unemployment

19 Create scenarios which show the differences between the various types of unemployment Assess the accuracy in calculating the unemployment rate Define inflation and discuss how it affects purchasing power Analyze and discuss the different causes of inflation Evaluate the effects of inflation on purchasing power, income and interest rates Identify and discuss factors which contribute to poverty Analyze and discuss recent anti poverty policies Resources Core Text: Economics: Principles in Action (Pearson, Prentice Hall). Suggested Resources: Economics by Example by David Anderson

20 Unit 8: Government and the Economy Content Area: Social Studies Course & Grade Level: Economic & Social Problems In American Society, 9 12 Summary and Rationale Unit 8 will explore the evolution of the Federal Reserve system as well as America s progressive tax system. Students will be able to identify and discuss the significance of federal open market operations, the discount window and the money multiplier effect. They will also be provided with an opportunity to discuss the merits of different tax structures such as the flat tax and whether or not they believe our current structure should be changed. In addition, classes will be able to evaluate the tools of the FED and the extent to which they should be able to remedy economic downturns. Recommended Pacing 25 days State Standards 6.3 Active Citizenship in the 21st Century. All students will acquire the skills needed to be active, informed citizens who value diversity and promote cultural understanding by working collaboratively to address the challenges that are inherent in living in an interconnected world. 9.2 Personal Financial Literacy: All students will develop skills and strategies that promote personal and financial responsibility related to financial planning, savings, investment, and charitable giving in the global economy. CPI # Cumulative Progress Indicator (CPI) C.1 Participate in a real or simulated hearing about a social issue with a related economic impact (e.g., growing health care costs, immigration), and justify conclusions after weighing evidence from multiple experts and stakeholders C.1 Participate in a real or simulated hearing about a social issue with a related economic impact (e.g., growing health care costs, immigration), and justify conclusions after weighing evidence from multiple experts and stakeholders C.1 Develop and implement a group initiative that addresses an economic issue impacting children A.9 Demonstrate how exemptions and deductions can reduce taxable income A.10 Explain the relationship between government programs and services and taxation A.11 Explain how compulsory government programs (e.g., Social Security, Medicare) provide insurance against some loss of income and benefits to eligible recipients A.12 Analyze the impact of the collective bargaining process on benefits, income, and fair labor practice B.5 Analyze how changes in taxes, inflation, and personal circumstances can affect a personal budget D.12 Evaluate how taxes affect the rate of return on savings and investments F.2 Summarize the concept and types of taxation used to fund public initiatives F.4 Analyze how citizen decisions and actions can influence the use of economic resources to achieve societal goals and provide individual services F.6 Compare and contrast the role of philanthropy, volunteer service, and charities in community development and quality of life in a variety of cultures F.7 Explain the concept and forms of taxation and justify the use of taxation to fund public activities and initiatives. Instructional Focus

21 Unit Enduring Understandings Taxes and the cost of employee benefits can affect the amount of disposable income. Money management is reliant on developing and maintaining personal budgets. Appropriate application of basic economic principles leads to wiser decisions for individual, family, and business financial planning. The potential for building and using personal wealth includes responsibility to the broader community and an understanding of the legal rights and responsibilities of being a good citizen. Philanthropic, charitable, and entrepreneurial organizations play distinctly different but vitally important roles in supporting the interests of local and global communities. Unit Essential Questions Is our tax structure fair? Are taxes necessary for a civilized society? Is tax evasion a serious problem in the U.S.? Should the U.S. implement a value added tax? Do estate and gift taxes help to prevent gross inequities in the distribution of wealth? Are excise taxes an effective means of discouraging the purchase of certain products? Is Social Security in serious danger? Should mandatory and discretionary government spending patterns be changed? Should seniors in West Windsor and Plainsboro be given property tax relief? Do local taxes provide you with a good quality of life? Is there a time when the government should increase tax levels? Are fiscal policies difficult to implement? Are tax credits effective fiscal policy? Are Keynes s ideas still relevant in today s economy? Are there significant differences between the theories of classical economists, Keynes and Laffer? Is a modest national debt good? Is the FED a necessary entity within our banking system? Is there a service or regulation provided by the FED that is more important than others? Should the FED frequently change reserve requirements? Does it always take long for the economy to stabilize itself? Objectives Students will know and be able to: Evaluate the power to tax Identify and discuss tax bases and structures Assess the characteristics of a good tax Complete a federal income tax form activity Explain the significance of terms related to filing tax returns Identify and discuss the areas which receive the bulk of Federal spending Analyze and discuss the sources and expenditures of state and local tax structures Identify and discuss the ways in which citizens benefit from paying taxes Define fiscal policy and explain how it influences the economy Explain the channels through which the federal budget plan passes before it is approved Distinguish between expansionary and contractionary fiscal policies and analyze the limits of fiscal policy Evaluate the theories of Keynes and discuss how they differed from classical theories of economics Assess how the multiplier effect and automatic stabilizers influence the shape of the economy Differentiate between supply side economics and the Keynesian school of thought

22 Evaluate the importance of balancing the budget Distinguish between deficit and debt Analyze the extent to which a national debt is a problem Explain how the structure of the FED lends to its balanced organization of our banking system Identify and discuss the functions of the FED within our economy Identify and discuss the tools used by the FED to bring about changes in the money supply Distinguish between the appropriate time to use an easy money policy and a tight money policy Evaluate how the nature of the business cycle affects the implementation of monetary policy Resources Core Text: Economics: Principles in Action (Pearson, Prentice Hall). Suggested Resources: Economics by Example by David Anderson