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Beginning Activities

Beginning Activities. Title today’s lesson: Business Cycles and Fluctuations Notes Activity : Copy the Graph on Page 376; define the terms listed on the graph Mission Statement: To prepare you for a life of responsible citizenship Daily Expectations: Use bathroom before class

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Beginning Activities

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  1. Beginning Activities • Title today’s lesson: Business Cycles and Fluctuations • Notes Activity: Copy the Graph on Page 376; define the terms listed on the graph • Mission Statement: To prepare you for a life of responsible citizenship • Daily Expectations: • Use bathroom before class • Come in quietly and get to work immediately • Pay attention and be respectful • No phones • No food or drinks other than water • Do your work • Give AP quality effort • 5 bonus points for supplies

  2. Extra Credit • 5 points each 6 weeks for bringing supplies: • Paper clips • Pens • Paper • Staples • Tape

  3. Business Cycles and Fluctuations Chapter 14 Economic Stability

  4. Causes of the Business Cycle • Business decrease investment. • Businesses cut back during hard times and increase during good times. • Innovation • New products can create a new demand. • More efficient ways of producing goods • Investment follows, creating more economic activity. • The Federal Reserve can increase or decrease the money supply. • External shocks • Connect to the Present: Crimea and Oil Prices in Europe

  5. Predicting Business Cycles • Econometric model – macroeconomic model that uses algebraic equations to describe how the economy behaves • Index of leading indicators – a monthly statistical series that usually turns down before real GDP turns down, and turns up before real GDP turns up.

  6. Ending Activity • Writing Activity: Innovation • What innovation in American history do you think has had the biggest impact on the American economy? • 1 page at least • Make sure the floor is clean • Connect to our objectives: How does this prepare you for life and the future?

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