ECONOMICS
(SECONDARY)
ESSENTIAL UNIT 5 (E05)
(Economic Growth & the AD/AS Model)
(July 2015)
Unit Statement: The student will learn about economic growth and the AD-AS model.
He/she will examine the sources and consequences of growth. The student will also examine
how growth is calculated and make comparisons between countries. The concept of
productivity and its relationship with physical capital, human capital, and technological
progress is essential in this unit as well. Economic growth is an essential idea in economics
and this class.
Essential Outcomes: (must be assessed for mastery)
1. The Student Will compare economies across space and time using real GDP per
capita.
2. TSW explain how progress in physical capital, human capital and technological
progress relate to productivity and long-run economic growth.
3. TSW explain the importance of sustainability as related to economic growth.
4. TSW explain the slope of the aggregate demand curve.
5. TSW explain the slope of the short-run and long-run aggregate supply curves.
6. TSW identify short-run and long-run macroeconomic equilibrium.
7. TSW diagram and explain supply and demand shocks using the AD-AS model.
8. TSW define and apply Key Terms and Concepts.
Key Terms and Concepts:
Productivity
Physical capital
Human capital
Aggregate demand curve
Long-run aggregate supply curve
Supply shock
AD-AS model
Long-run macroeconomic equilibrium
Recessionary gap
Inflationary gap
Aggregate supply curve
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QSI ECONOMICS SEC E05
Copyright © 1988-2015
Suggested Materials:
“Essentials of Economics” Long-run Economic Growth, Aggregate Demand and
Aggregate Supply, Chapters 13, 14;
Suggested Strategies:
1. Simulation classroom activity.
2. Teacher generated examinations.
3. “Economics In Action” section from textbook.
Technology Tools:
WebPath Express (found in school library)
Economic education link database: http://www.econedlink.org/web-links/approvedeconomic-web-links.php
Foundation for the Teaching of Economics: http://www.fte.org
Khan Academy Microeconomics: http://www.khanacademy.org/economics-financedomain/microeconomics
Khan Academy Macroeconomics: http://www.khanacademy.org/economics-financedomain/macroeconomics
ACDC Econ: https://www.youtube.com/channel/UCCQEbqDL8i40d83Au55lYMQ
MJMFoodie Econ: https://www.youtube.com/user/mjmfoodie
Jason Welker Econ: https://www.youtube.com/user/welkerjason
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QSI ECONOMICS SEC E05
Copyright © 1988-2015
QSI ECONOMICS
ESSENTIAL UNIT 5 (E05) RUBRIC
(Economic Growth & the AD/AS Model)
Must achieve all ‘B’ Level in all TSW’s for a ‘B’.
Must achieve 2 of 3 in the ‘A’ column for an ‘A’.
The Student Will………..
‘A’ Level Mastery
1. compare economies
across space and time
using real GDP per capita.
2. xplain how progress in
physical capital, human
capital and technological
progress relate to
productivity and long-run
economic growth.
‘B’ Level Mastery
Can access data and draw
comparisons between
countries based on real
GDP per capita across
space and time.
Can create realistic
policy recommendations
to promote productivity
using all three factors.
Can explain the
relationship between all
three and productivity and
how this can lead to
economic growth.
3. explain the importance of
sustainability as related to
economic growth.
Can explain the reason
aggregate demand slopes
downward using the wealth
effect and interest rate
effect.
4. explain the slope of the
aggregate demand curve.
Can explain why the SRAS
and LRAS have different
slopes.
5. explain the slope of the
short-run and long-run
aggregate supply curves.
Can identify and correct
for inflationary and
recessionary gaps using
different policy
recommendations on the
AD-AS model.
Can identify short-run and
long-run macroeconomic
equilibrium using the ADAS model with an LRAS
curve.
6. identify short-run and
long-run macroeconomic
equilibrium.
Can diagram long-run
market adjustments to
positive and negative
shocks on the AD-AS
model with an LRAS
curve.
Can explain using a
diagram various examples
of supply and demand
shocks on the AD-AS
model.
7. diagram and explain
supply and demand shocks
using the AD-AS model.
Can define and apply the
key terms.
8. define and apply Key
Terms and Concepts.
Can define and apply the
key terms.
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QSI ECONOMICS SEC E05
Copyright © 1988-2015
NOTES