Economic Resources
Helpful Links
Arizona Council on Economics Education: http://www.azecon.org/
Council of Economic Education- Key Concept Lesson Plans: http://www.ncee.net/resources/lessons.php
Council for Economic Education http://www.councilforeconed.org/
EconEdLink: http://www.econedlink.org/lessons/
Economic Concept Photos to use to introduce different economic concepts
Summary: This is a series of photos depicting scenes we'll likely never see in the real world. Ask your students to explain why. The photos can be used to introduce new concepts or to review definitions.
Economics University online: www.Reffonomics.com
Federal Reserve Bank educational websites
St. Louis Fed (Teaching with FRED)
St. Louis Fed (Teaching with Fraiser)
Dallas Fed Resources
San Francisco Fed Resources
Foundation for Teaching Economics: http://www.fte.org/teacher-resources/lesson-plans/
National Endowment of Financial Education High School Financial Planning Program
Technology Resources:
Exchange Rates Calculator: http://www.x-rates.com/
Hans Rosling World Development Lecture: http://www.youtube.com/watch?v=hVimVzgtD6w
Highest Movie Tickets sales adjusted for inflation: http://www.boxofficemojo.com/alltime/adjusted.htm
Inflation Calculator: http://data.bls.gov/cgi-bin/cpicalc.pl
Videos:
Crisis of Credit: http://www.crisisofcredit.com/
Jacob Clifford’s econ lessons in 60 to 90 seconds: http://www.youtube.com/user/ACDCLeadership?blend=2&ob=1
Wall Street Journal videos: http://online.wsj.com/video
Disclaimer:
The following was created several years ago with links and standards from when it was created. This has not been update, but it can still provide a source for ideas. The Virtual Economics program mentioned can be obtained here. https://store.councilforeconed.org/shopping_product_detail.asp?pid=52408
Greetings Arizona Marketing Educator!
As part of my implementation plan through the University of Delaware’s masters in economics and entrepreneurship masters program, I created this document to provide resources to Arizona marketing and economics educators to assist us as we incorporate hands-on activities and resources with our students as we teach economic concepts. I hope you will find this helpful!
Concept 1: Foundations of Economics
PO 1. Analyze the implications of scarcity:
a. Limited resources and unlimited human wants influence choice at individual, national, and international levels.
Choice, Opportunity Costs and Decisions
Virtual Economics CD – Lesson 1 from FOCUS High School Economics 2nd Edition
Concepts: Scarcity, opportunity costs, tradeoffs
b. Factors of production (e.g., natural, human, and capital resources, entrepreneurship, technology)
Getting More or Using Less
Virtual Economics CD – Lesson 8 from FOCUS High School Economics 2nd Edition
Concepts: productivity, specialization and division of labor, investment in capital goods, and investment in human capital
Learn More, Earn More
Virtual Economics CD – Lesson 9 from FOCUS High School Economics 2nd Edition
Concepts: human capital, income, standard of living
c. Marginal analysis by producers, consumers, savers, and investors
The Economic Way of Thinking: Three Activities to Demonstrate Marginal Analysis
Virtual Economics CD –Economics in Action, Lesson 6, 14 Greatest Hits for Teaching High School Economics book
Until the Last Unit Equals …
Virtual Economics CD – Lesson 15 from FOCUS High School Economics, 2nd Edition
Concepts: marginalism, diminishing returns, marginal product, marginal cost
Dumptown, USA: Making a Ton of Difference
Concepts: Benefit, budget, choice, communities and cities, cost/benefit analysis,
Costs, decision making, economic efficiency, incentive, marginal analysis, role of government
PO 2. Analyze production possibilities curves to describe opportunity costs and trade-offs.
Production Possibilities Curve Constant and Increasing Opportunity Cost
What's wrong with this picture?
Concept: Opportunity cost Click on link below paragraph for picture. The opportunity cost of getting the rebate includes the cost of the stamp and envelope, plus the time it takes to fill out the form, cut out the UPC code, get a copy of the receipt, address an envelope, and mail it off. For most of us, that cost is greater than $1. (Click on the picture to download a high resolution version of the image.)
Give and Take
PO 3. Describe the characteristics of the mixed-market economy of the United States:
a. Property rights
Property Rights, the Tragedy of the Commons, and the Coase Theorem
Virtual Economics CD – FOCUS Economic Systems book by NCEE lesson 3
Concepts: Property rights, tragedy of the commons, coase theorem
Why are Some Nations Wealthy?
Virtual Economics CD, lesson 10 from FOCUS Economic Systems
Concepts: Economic growth, productivity, property rights, saving and investment, physical capital and human capital, natural resources, trade
Property Rights and Contracts as Economic Institutions
Virtual Economics CD lesson 2 from FOCUS Institutions and Markets
Concepts: Private property, communal property, intellectual property, market economy, incentives, legal foundations of a market economy, contracts
b. Profit motive
Video Cartoon – “Going Places” (1948) Fun and effective examples showing capitalism, competition, and the profit motive.
c. Consumer sovereignty
d. Competition
Video clip: NASA contracts to private firm
Small commercial firm lands contract with NASA. See video at link above. Discussion questions online at www.izzit.org
Marketplace: Corporate Leap Frog
Concepts: Advertising, competition, non-price competition, price
This lesson will focus on competition among sellers and the factors that can make one company more successful than another in the same market. Competition between K-Mart, Wal- Mart, and Target will be examined to see what kinds of competition (price and non-price) can help one company 'leap' ahead of another.
Fad or Fortune (this lesson was designed for 6-8 gr. But see note below for modifying it for 11th grade)
Concepts: Choice, competition, demand, exchange, markets, scarcity, voluntary exchange
“I tried a modified version of this with 11th grade students and they loved it. However, for any other high school teachers wanting to tie this in with a lesson on demand, the numbers given do not seem to have a lot of rhyme or reason to them. Students may argue that it does not reflect real market conditions.” - BJ St. Paul, MN
e. Role of the government
Video Cartoon – “Make Mine Freedom” (1948) Cold war cartoon that compares the tenants of capitalism and communism.
Who Decides?
Virtual Economics CD, lesson 2 from FOCUS Economic Systems
Concepts: Resource allocation, market economy, command economy
Broad Social Goals
Virtual Economics CD, lesson 1 from FOCUS Economic Systems
Concepts: Broad social goals (efficiency, equity, freedom, growth, stability), command economy, market economy
What and How Much should Government Do?
Virtual Economics CD, lesson 6 from FOCUS Economic Systems
Concepts: Role of government, command and market economy
f. Rational self-interest
g. Invisible hand
Saving, Investing, and the Invisible Hand
Virtual Economics CD – Lesson 17 from FOCUS High School Economics, 2nd Edition
Concepts: Saving, investment, the stock market, the bond market, primary and secondary markets for financial securities, banks, the circular flow of income with financial intermediaries, the “invisible hand”
PO 4. Evaluate the economic implications of current events from a variety of sources (e.g., magazine articles, newspaper articles, radio, television reports, editorials, internet sites).
Current Events: Go to current events blue circle and sign up for daily email alerts featuring current events. Izzit.org provides discussion questions that go along with certain current events featured. www.Izzit.org also provides current event news videos with discussion questions as well.
Current events from EconEdLink: EconEdLink provides access to the latest economics news and information. Come here to learn more about what's happening in the world of economics and access related lesson plans.
Wall Street Journal. (Get short, timely messages) from From
International Monetary Fund posts current event videos for review
A Word on the Economy: Why Is the Country Facing a Financial Crisis?
Need a little help understanding and explaining current events in financial markets to your students? Check out this easy-to-understand presentation on the current economic situation, developed by Julie Stackhouse, senior vice president of the Fed's Banking Supervision & Regulation division.
PO 5. Interpret economic information using charts, tables, graphs, equations, and diagrams.
Concept 2: Microeconomics
PO 1. Describe how the interdependence of both households and firms is affected by trade, exchange, money, and banking:
a. Why voluntary exchange occurs only when all participating parties expect to gain from the exchange.
Why are Some Nations Wealthy
Virtual Economics CD, lesson 10 from FOCUS Economic Systems
Concepts: Economic growth, productivity, property rights, saving and investment, physical capital and human capital, natural resources, trade
b. Role and interdependence of households, firms, and government in the circular flow model of economic activity.
The Circular Flow(s)
Virtual Economics CD, lesson 16, from FOCUS High School Economics, 2nd Edition
Concepts: Productive resources, resource payments, interdependence, circular flow of goods, services, productive resources, and money payments
Markets and the Market System
Virtual Economics CD, lesson 1 from FOCUS Institutions and Markets
Concepts: Product markets, factor markets, allocative efficiency, circular flow model, shortage, surplus, market prices, law of demand, law of supply
c. Role of entrepreneurs in a market economy and how profit is an incentive that leads entrepreneurs to accept risks of business failure
In this lesson, students will learn how to assess the life and work of an entrepreneur from the list of famous entrepreneurs provided, and a list of entrepreneurial traits and characteristics that foster self-worth and individualism. From the Inside the Vault article, "Do You Want to be Your Own Boss?"
Concepts: Entrepreneurship, incentive, risk
d. Financial institutions and securities markets
e. Importance of rule of law in a market economy for enforcement of contracts.
PO 2. Describe how markets function:
a. Laws of supply and demand
Demand and Supply—It’s What Economics Is About!
Upon completion of this lesson, students will be able to list the determinants of demand and supply, recognize which factors will cause demand curves or supply curves to shift, determine equilibrium using a demand/supply graph, and show the effects on price and quantity when equilibrium changes. From the Inside the Vault article, "What Is Driving Oil Prices?"
b. How a market price is determined
Markets Interact
Virtual Economics CD, lesson 5 from FOCUS High School Economics, 2nd edition
Concepts: Equilibrium price and quantity, supply and demand, interdependence
A Classroom Market for Crude Oil
Virtual Economics CD, Lesson 3 from FOCUS High School Economics, 2nd edition
Concepts: supply, demand, market clearing price, surplus, shortage
c. Graphs that demonstrate changes in supply and demand
Pearl Exchange Activity- A hands-on activity where students buy and sell pearls in a simulated market.
Shifting Curves: Demand and Supply Shifts in the Gasoline Market
Students create a graph of gasoline supply and demand and identify the market-clearing price. Students learn about the determinants of supply and demand. They graph a decrease in demand for gasoline and a decrease in supply of gasoline to understand how those factors affect prices. Note: Students should know what supply and demand are and be able to graph supply and demand data as well as draw supply and demand graphs. From the Inside the Vault article, "Why Do Gasoline Prices React to Things That Have Not Happened?"
The Market Never Stands Still
Virtual Economics CD, lesson 4 from FOCUS High School Economics, 2nd edition
Concepts: Determinants of demand shifts and determinants of supply shifts
d. How price ceilings and floors cause shortages or surpluses
Price Controls – Too high or too low
Virtual Economics CD, lesson 6 from FOCUS High School Economics, 2nd edition
Concepts: Markets and prices, supply and demand, price ceiling, price floor, shortages and surpluses, rationing
e. Comparison of monopolistic and competitive behaviors
Econ Concepts in 60 Seconds: Perfect Competition in the Short Run
Perfect Competition Inc- AP Economics Music Video #1 Class of 2010
Econ Concepts in 60 Seconds: The Ultimate Monopoly Review for AP Economics
When there isn't pure competition
Virtual Economics CD, lesson 14 from FOCUS High School Economics, 2nd edition
Concepts: Competition and market structures, interdependence in imperfect competition, non-price competition, collusion, antitrust policy and regulation of natural monopolies
f. Theory of production and the role of cost
Focus on Economic Data: U.S. Employment and the Unemployment Rate - March 7, 2008
Concepts: Costs, costs of production, economic growth, factor endowments, full employment, labor, labor force, labor market, macroeconomic indicators, production, productivity, trade-offs among goals, types of unemployment, unemployment, unemployment rate
PO 3. Describe how government policies influence the economy:
a. Need to compare costs and benefits of government policies before taking action
Concepts: Aggregate Demand (AD), deflation, federal reserve, federal reserve structure, fiscal policy, Gross Domestic Product (GDP), inflation, monetary policy, tools of the Federal Reserve
b. Use of federal, state, and local government spending to provide national defense; address environmental concerns; define and enforce property, consumer and worker rights; regulate markets, and provide goods and services
The Role of Government: The National Debt vs. The Deficit
Concepts: Budget, budget deficit, budget surplus, fiscal policy, national debt, surplus
Public Goods
Virtual Economics CD, lesson 11 from FOCUS High School Economics, 2nd edition
Concepts: Public goods and services, taxes, non-exclusion principle, shared consumption, “free riding” problems
Third-party Costs and Benefits
Virtual Economics CD, lesson 12 from FOCUS High School Economics, 2nd edition
Concepts: Market failures, externalities (spillover benefits and costs), transaction costs
Rich Man, Poor Man
Virtual Economics CD, lesson 10 from FOCUS High School Economics, 2nd edition
Concepts: Income, transfer payments, personal distribution of income, functional distribution of income, proprietors’ income, corporate profits
c. Effects of progressive, proportional, and regressive taxes on different income groups
Income Taxes: Who Pays and How Much?
Using data collected from the Internal Revenue Service for the tax year 2003, students will become involved in an inquiry of individual federal income taxes. The lesson is divided into sections that address specific questions, such as: Why do we have an individual income tax? What is individual federal income tax? How is it paid? When is it paid? How is the individual income tax structured? What is a perfect tax structure? What are the different categories of taxes? What is the correlation between tax burden and income groups? What if the tax structure were changed? What effects would a different tax structure have on taxpayers? What effect would a different tax structure have on the government? From the Inside the Vault article, "Income Taxes: Who Pays and How Much?"
U.S. Income Inequality: It's Not so Bad
The lead article in the spring 2010 issue of Inside the Vault discusses redistributing wealth through taxation. In this lesson, students will examine the ability-to-pay principle of taxation. Students will compare a progressive tax system and a flat tax system by analyzing the same household scenarios using one system and then the other.
d. Role of self-interest in decisions of voters, elected officials, and public employees
Public Choice: Economics goes to Washington and into the voting booth
Virtual Economics CD, lesson 13 from FOCUS High School Economics, 2nd edition
Concepts: Self-interest, expected benefits and costs of voting, information and search costs, special interest effects, government failure
Concept 3: Macroeconomics
PO 1. Determine how inflation, unemployment, and gross domestic product statistics are used in policy decisions.
Which Came First—Democracy or Growth?
Students will compute real Gross Domestic Product (GDP) and GDP per capita for three fictional countries and will answer questions related to actual data on GDP and GDP per capita. The Index of Economic Freedom will be used to compare and contrast the relationship between the degree of a country’s economic freedom and the total output of that country and its standard of living. Students will both map and rank a sample of countries using GDP, GDP per capita and freedom index data. From the Inside the Vault article, "Which Came First—Democracy or Growth?"
PO 2. Explain the effects of inflation and deflation on different groups (e.g., borrowers v. lenders, fixed income/cost of living adjustments).
Economic Ups and Downs
Virtual Economics CD, lesson 18 from FOCUS High School Economics, 2nd Edition
Concepts: Business cycles, GDP, Unemployment, CPI, recession, inflation, economic growth, fiscal policy
PO 3. Describe the economic and non-economic consequences of unemployment.
What Is Unemployment, How Is It Measured, and Why Does the Fed Care?
In this lesson, students read and interpret choropleth maps, which contain unemployment data. They compare verbal descriptions of the labor market from the Federal Reserve’s Beige Book with the mapped data. In addition, students compare unemployment data for different years. Students access or observe how to access this data online.
PO 4. Analyze fiscal policy and its effects on inflation, unemployment, and economic growth.
Aggregate Supply and Demand: The Sum of Their Parts
Virtual Economics CD, lesson 20, from FOCUS High School Economics, 2nd edition
Concepts: Aggregate demand and supply, GDP, Fiscal policy, monetary policy
PO 5. Describe the functions of the Federal Reserve System (e.g., banking regulation and supervision, financial services, monetary policy) and their influences on the economy.
Macroeconomic Stabilization Policies and Institutions
Virtual Economics CD, lesson 10 from FOCUS Institutions and Markets
Concepts: Unemployment, inflation, fiscal policy, automatic stabilizers, monetary policy, central banks (Federal Reserve Bank), discount rate, reserve requirement, open market operations
Focus on Economic Data: The Federal Reserve and Monetary Policy, April 28, 2010 http://www.econedlink.org/lessons/index.php?lesson=909&page=teacher
Concepts: Central banking system, Federal Reserve, macroeconomic indicators, monetary policy, money supply, tools of the Federal Reserve
PO 6. Explain the effects of monetary policy on unemployment, inflation, and economic growth.
Money, Interest and Monetary Policy
Virtual Economics CD, lesson 19, from FOCUS High School Economics, 2nd edition
Concepts: Money supply, inflation, open market operations, reserve requirements, discount rate, interest rate
PO 7. Determine how investment in factories, machinery, new technology, and the health, education, and training of people can raise future standards of living.
Learn More, Earn More
Virtual Economics CD – Lesson 9 from FOCUS High School Economics 2nd Edition
Concepts: Human capital, income, standard of living
Concept 4: Global Economics
PO 1. Analyze the similarities and differences among economic systems:
a. Characteristics of market, command, and mixed economic systems, including roles of production, distribution, and consumption of goods and services
Broad Social Goals of an Economic System
Virtual Economics CD, lesson 2 from FOCUS High School Economics, 2nd edition
Concepts: Broad social goals (economic efficiency, equity, freedom, growth, security, stability), tradeoffs, market economy, command economy
b. Benefits and costs of market and command economies
Crossing Borders: The Globalization Debate
http://www.stlouisfed.org/education_resources/assets/lesson_plans/08ITV_Globalization.pdf
Students will consider both sides of the globalization debate—the benefits and the costs—by reading and discussing the article "Crossing Borders: The Globalization Debate" from the Spring 2008 issue of Inside the Vault. Working in groups, students will analyze statements regarding the benefits and costs of globalization, categorize the statements and discuss them.
c. Characteristics of the mixed-market economy of the United States including such concepts as private ownership, profit motive, consumer sovereignty, competition, and government regulation
I Don't Want Much, I Just Want More: Allocation, Competition and Productivity
http://www.econedlink.org/lessons/index.php?lesson=532&page=teacher
Concepts: Competition, market economy, productivity, scarcity
d. Role of private property in conserving scarce resources and providing incentives in a market economy
Eminent Domain
http://www.stlouisfed.org/education_resources/assets/lesson_plans/07ITV_EminentDomain.pdf
Concepts: Students will examine three Supreme Court rulings and analyze possible positive and negative impacts of the Court's decision on eminent domain. The lesson covers: benefits, costs, eminent domain, public good and trade-offs. From the Inside the Vault article, "Eminent Domain: Should Private Property Be Taken for Public Use?"
PO 2. Describe the effects of international trade on the United States and other nations:
a. How people and nations gain through trade
Why is Globalization so Controversial
Virtual Economics CD, lesson 1 from FOCUS Globalization
Concepts: Economic institutions, barriers to trade, voluntary exchange, specialization, factor endowments, gains from trade
b. How the law of comparative advantage leads to specialization and trade
Econ Concepts in 60 Seconds: Comparative Advantage
Why People Trade, Domestically and Internationally
Virtual Economics CD, lesson 2 from FOCUS Globalization
Concepts: Absolute advantage, comparative advantage, opportunity cost, production possibilities table
c. Effects of protectionism, including tariffs and quotas on international grade and on a nation’s standard of living
Hey, Hey! Ho, Ho! Why Do We Need the WTO?
Virtual Economics CD, lesson 11 from FOCUS Institutions and Markets
Concepts: International economic institutions, gains from trade, tariffs, public goods, market failures, monetary policy, property rights, competition
d. How exchange rates work and how they affect international trade
The Family Vacation
http://www.econedlink.org/lessons/index.php?lesson=798&page=teacher
Concepts: Exchange, Exchange Rate, Money
Students will take a surprise trip around the world. As they travel, they will use clues to discover where they are going. They will then figure out how much money they have spent in U.S. dollars, using exchange rates.
The Big Mac Index
http://www.econedlink.org/lessons/index.php?lesson=156&page=teacher
Concepts: Characteristics of money, currency, exchange rate, price
How fast can you say "twoallbeefpattiesspecialsaucelettucecheesep icklesonionsonasesameseedbun?" This question was asked of millions of TV viewers in the now famous 1970s McDonald's television commercial promoting the Big Mac.
e. How the concepts of balance of trade and balance of payments are used to measure international trade
Trade, Investment, and the Balance of Payments
Virtual Economics CD, lesson 12 found in FOCUS Globalization
Concepts: Balance of payments, current account, financial account, balance of trade, credits, debits, exports, imports, investment, saving
f. Factors that influence the major world patterns of economic activity including the different costs of production between developed and developing countries
Marketplace: Doing Business in Afghanistan
http://www.econedlink.org/lessons/index.php?lesson=773&page=teacher
Concepts: Benefit, choice, costs, costs of production, economic growth, entrepreneur, externalities, incentive, investment, public goods, role of government, trade-off
g. Economic connections among different regions, including changing alignments in world trade partners
Why is Globalization so Controversial
Virtual Economics CD, lesson 1 from FOCUS Globalization
Concepts: Economic institutions, barriers to trade, voluntary exchange, specialization, factor endowments, gains from trade, (WTO)
h. Identify the effects of trade agreements (e.g., North American Free Trade
The NAFTA Debate
Virtual Economics CD, lesson 18 from FOCUS International Economics
Concepts: Free trade agreements, tariffs and trade policy
Concept 5: Personal Finance
PO 1. Explain how education, career choices, and family obligations affect future income.
Invest in Yourself
Virtual Economics CD, lesson 3 from Learning Earning and Investing High School
Concepts: Human capital, income, investment in human capital, opportunity costs
PO 2. Analyze how advertising influences consumer choices.
Marketplace: Real(ity) Estate
http://www.econedlink.org/lessons/index.php?lesson=371&page=teacher
Concepts: Advertising, Choice, Competition, Trade-off
This lesson teaches students about opportunity cost through some steps of buying a house. It also shows students how advertising affects consumer decision-making.
Marketplace: Teen Nightclubs
http://www.econedlink.org/lessons/index.php?lesson=479&page=teacher
Concepts: Advertising markets
PO 3. Determine short-and long-term financial goals and plans, including income, spending, saving,and investing.
National Endowment of Financial Education High School Financial Planning Program
PO 4. Compare the advantages and disadvantages of using various forms of credit and the determinants of credit history.
Extra Credit: It's No Fairy Tale
http://www.stlouisfed.org/education_resources/assets/lesson_plans/08ITV_ExtraCredit.pdf
This lesson uses a specific scenario to demonstrate how to apply the statistical and economic information in "Extra Credit: The Rise of Short-term Liabilities," the lead article in the fall 2008 issue of Inside the Vault. Students read a story that illustrates some of the trends and concerns discussed in the article. The facts of the story are then analyzed to identify the debt trap and to generate solutions to the problem. Using an online calculator, students calculate the amount of time it takes to pay off a credit card based on the monthly payment amount.
Consumer credit: Buy now, pay later, And more
Concepts: Credit, consumer credit, decision making, opportunity cost, interest
Financial Concepts Students Learned From Using Credit Cards
How Students Get Into Credit Card Trouble
How to Use Credit Cards the Right Way
PO 5. Explain the risk, return, and liquidity of short-and long-term saving and investment vehicles.
The Benefits of Investing Early
http://www.econedlink.org/lessons/index.php?lesson=603&page=teacher
Concepts: Interest, Investing, Savers. The students will see how compounding returns make investing at a young age pay off.
National Endowment of Financial Education High School Financial Planning Program
PO 6. Identify investment options, (e.g., stocks, bonds, mutual funds) available to individuals and households.
Developing a Financial Investment Portfolio
http://www.econedlink.org/lessons/index.php?lesson=566&page=teacher
Concept: Investment
Saving, Investing, and the Invisible Hand
Virtual Economics CD, lesson 17, from FOCUS High School Economics, 2nd edition
Concepts: Saving, investment, the stock market, the bond market, primary and secondary markets for financial securities, banks, the circular flow of income with financial intermediaries, the invisible hand