LESSON #1
Class: Applied Economics
Instructor: Michael Ruch
Subject Area: Social Studies 9-12
Curriculum Objective: Students will analyze fixed and variable costs of production.
Content Standard: SS4
Process Standard: G4.1, G1.8
Learner Activity:
a. Divide class into small groups of 3-4 students.
b. Board Brainstorming Prompt: Imagine you are opening a welding shop that is going to produce
small trailers for boats, lawn mowers and ATV's. The group has 5 minutes to list factors of
production utilized in the shop.
c. Each group then places the list on the chalkboard.
d. Define fixed costs, variable costs, and costs of production
-costs of production: the price of land, labor and capital the firm must deduct from gross revenue
to calculate profit.
-Fixed Cost: factors of production needed by the firm that do not increasingly get consumed
with each marginal unit of production (Ex. tools, rent, shop building)
-Variable Cost: factors of production needed by the firm that increasingly get consumed with
each marginal unit of production (Ex. steel material, welding supplies, gas)
e. Each group will then return to the board and analyze all brainstormed items and conclude whether
they are fixed or variable costs of production
f. Closure/Enrichment: Discuss how and why employers would react to wasted materials due to
employee mistakes and carelessness. What other cost of production factors
would concern employers?
Assessment Activity: Students will choose a career field of their choice and construct a graphic organizer that
includes 15 costs of production. The 15 costs of production will be analyzed and labeled
as fixed or variable costs.
Method of Assessment: Scoring Guide (See Below)
Resources: Chalkboard, Dry Erase or Large Paper for classroom analysis
Construction paper and art supplies for graphic organizer construction
Scoring Guide
4
15 components
are identified
3
11-14 are
identified
2
7-10 are
identified
1
Identifies
Less than 7
required number
components are
of components
identified
Accuracy
All 15
11-14
7-10
Less than 7
components are components are components are components are
accurately
accurately
accurately
accurately
labeled
labeled
labeled
labeled
Neatness/Quality Project is very Project is
Project has 4-7 Project
of work
neat; work area mostly neat/ 2- errors
contains more
was kept clean 3 errors
than 7
examples of
carelessness
Use of class time Student
Student used
Student worked Student spent
consistently
most of the
on project, but most of the
worked on
class time for
also distracted
class time
project during
the project
others or
distracting
the entire class
wasted some
others/did not
time
class time
use time for
project
LESSON #2
Class: Applied Economics
Instructor: Michael Ruch
Subject Area: Social Studies
Curriculum Objective: Students will analyze factors of production.
Content Standard: SS4
Process Standard: G4.1, G1.8
Learner Activity:
a. Divide class into small groups of 3-4 students.
b. Board Brainstorming Prompt: Imagine you are building a house for your family. You have 5
minutes to list every possible resource your group can think of to successfully build the house!!
c. Each group then places the list on the chalkboard.
d. Define factors of production:
-factors of production: land, labor and capital resources a firm utilizes to produce a good/service
-land: all renewable and non-renewable natural resources (Ex. lumber, nails, fuel, concrete)
-labor: all human effort in production (Ex. carpenters, architect, bricklayers, electricians)
capital: all man-made tools for production (Ex. hammer, bulldozer, concrete forms, saws)
e. Each group will then return to the board and analyze all brainstormed items and conclude whether
they are land, labor, or capital factors of production
Assessment Activity: Students will choose their favorite automobile of the past or present and construct a
graphic organizer that includes 15 factors of production for that automoble. The 15
factors of production will be analyzed and labeled as land, labor or capital.
Method of Assessment: Scoring Guide (See Below)
Resources: Chalkboard, Dry Erase or Large Paper for classroom analysis
Construction paper and art supplies for graphic organizer construction
Scoring Guide
4
15 components
are identified
3
11-14 are
identified
2
7-10 are
identified
1
Identifies
Less than 7
required number
components are
of components
identified
Accuracy
All 15
11-14
7-10
Less than 7
components are components are components are components are
accurately
accurately
accurately
accurately
labeled
labeled
labeled
labeled
Neatness/Quality Project is very Project is
Project has 4-7 Project
of work
neat
mostly neat/ 2- errors
contains more
3 errors
than 7
examples of
carelessness
Use of class time Student
Student used
Student worked Student spent
consistently
most of the
on project, but most of the
worked on
class time for
also distracted
class time
project during
the project
others or
distracting
the entire class
wasted some
others/did not
time
class time
use time for
project
LESSON #3
Class: Applied Economics
Instructor: Michael Ruch
Subject Area: Social Studies
Curriculum Objective: Compare and contrast the three business organizations of sole proprietorship,
partnership, and corporation.
Content Standard: SS4
Process Standard: G4.1, G1.8
Learner Activity: Students will compare and contrast business organizations.
a. Students will individually contact 5 local businesses and determine the organization of each.
b. The five businesses must include at least one sole proprietorship, one partnership, and one corp.
c. The student will then use their business contact or text to compile a list of pros and cons for each
business organization.
d. Students will report back to class and divide into 3 groups.
e. Each group will be assigned ONE business organization: sole proprietorship, partnership or corp.
f. Each group will compile a list of pros and cons for their organization and report their conclusions.
Assessment Activity: Students will construct a graphic organizer that analyzes the pros and cons of sole
proprietorships, partnerships and corporations. The graphic organizer must include the 3 business
organizations, 5 pros for each organization and 5 cons for each organization for a total of 33 "components."
Method of Assessment: Scoring Guide (See Below)
Resources: Chalkboard, Dry Erase or Large Paper for classroom analysis
Construction paper and art supplies for graphic organizer construction
Scoring Guide
4
33 components
are identified
3
21-32 are
identified
2
10-20 are
identified
1
Identifies
Less than 10
required number
components are
of components
identified
Accuracy
All 33
21-32
10-20
Less than 10
components are components are components are components are
accurately
accurately
accurately
accurately
labeled
labeled
labeled
labeled
Neatness/Quality Project is very Project is
Project has 4-7 Project
of work
neat
mostly neat/ 2- errors
contains more
3 errors
than 7
examples of
carelessness
Use of class time Student
Student used
Student worked Student spent
consistently
most of the
on project, but most of the
worked on
class time for
also distracted
class time
project during
the project
others or
distracting
the entire class
wasted some
others/did not
time
class time
use time for
project