THE STUDY OF ECONOMICS

1. THE STUDY OF ECONOMICS

2. Learning Targets I can . . . • Define economics. • Apply basic understanding of economics to determine what to produce, how to produce, and for whom to produce • Explain the economic concept of supply and demand. • Explain how competition influences supply and demand and the pricing of products. • Explain the factors of production: how human resources, natural resources, capital and entrepreneurship contribute to the creation of a finished product. • Compare price and quality of available good and services and determine the best buy options.

3. Economics Economics is what keeps a nation on its feet. It determines whether or not a nation’s people are educated, well-paid, fed, healthy, and living a good life.

4. The Dawn of an Economy • First, either private companies or the government builds factories to produce goods. • The government builds schools, transportation, and health care facilities

5. Education • Adults use the schools to learn how to run the new factories. • Children also go to school, but they are not trained for work until they are adults.

6. Workers • The newly-trained adults take up jobs at the new factories. • The factory benefits from the workers making goods for them. • The workers also benefit from the factories, who pay them wages.

7. Spending • The workers, who get paid by the factories, use the money to buy food, clothes, furniture and other accessories for their families. • The factories and businesses selling these goods receive money from the consumers.

8. Tax Day • Both workers and factories have to pay taxes to the government. • The government uses these taxes to pay for the schools, transportation, and medical facilities.

9. The loop goes on • After taxes pay the public services, more people are educated for work, more factories are built, and the new workers run the new factories.

10. So, what is Economics? It is the study of the manufacture, distribution, sale, and use of goods and services. It is a way that Social Scientists can determine the health of a society’s economy.

11. Economics for Children – What is Economics?

12. Discussion questions for after video • What are businesses? How are businesses alike? How are they different? • What are goods and services? • Name and define the three kinds of resources needed by businesses. • What is conservation? Why should we practice conservation? • What is profit? • What is the difference between consumers and producers? Can a person be both? Why? • What is transportation? How does it interact with the economy?

13. Economics for Children – U.S. Industries and Resources

14. Discussion questions for after video • What is the economy? How do you take part in the economy of your community? Country? World? • What is a tax? How do you commonly pay taxes? • What is an industry? Whatdo natural resources have to do with the development of industries in the United States? • What is a free market economy? • What is the difference between domestic trade and international trade? • What are some ways competing businesses try to gain more customers?

15. Natural Resources: Something found in nature that people can use. Let’s list some! Water Soil Plants Sun (solar energy) Trees Oil

16. Brain Pop video http://www.brainpop.com/science/ourfragileenvironment/naturalresources/ Use the “Three Column Chart” as you watch the video. Needs vs Wants Needs: Things that people must have in order to survive, such as food. Wants: Things that people would like to have but can live without, such as TV.

17. Renewable Resources: natural resources that can replenish themselves and be used over and over again. (lumber, wheat, wind, sun) Non-renewable Resources: Resources that, when all used up, are gone forever. (oil, coal, iron ore)

18. In your group, discuss your thoughts on the four topics from the index cards. Write your answers on whiteboards and be prepared to share. • What kinds of goods and services do you need? Want? Name goods and services that are available in your community. • Discuss possible similarities and differences between businesses located in two different states, like FL and AL. • Discuss how different foods get to your local grocery store. • What is a natural resource? What kinds of goods, services and jobs are related to natural resources?

19. What are some of the natural resources found in each region of the United States? Wheat Fishing Lumber Oil Cotton

20. Homework – students bring in an object from home with “Made in _______ tab.”

21. Economics Vocabulary Fill in the first 5-6 vocabulary definitions as a warm-up. Come up with an example and a picture for each word to help you remember the definition.

22. What can you generalize about the resources and economics of the countries from our map? • Look back at the ½ sheet of paper on your needs and wants. Would you change anything? American made vs foreign made? Would you still buy or wait? What does this do for price of goods?

23. Poems about our civilizations Directions: Create a seven-line poem about a country of your choice. Follow the format given below to write your poem. Use pages 12 – 22 in the atlas to help you get an idea of the land type you want. Line 1 Country name Line 2 One physical feature located in your country Line 3 Two adjectives describing your country’s climate Line 4 One detail about your country’s vegetation Line 5 Two adjectives describing your country’s population density Line 6 One detail about land use or resources in your country Line 7 Region name

24. You are in an airplane looking for a piece of land to buy. You decide on the land based on the topography. Now you have to set up a civilization and make it run smoothly with the natural resources from the area.