11 APPLIED ECONOMICS First Quarter LEARNING ACTIVITY SHEET Republic of the Philippines Department of Education COPYRIGHT PAGE Learning Activity Sheet in Applied Economics in Context Grade 11 Copyright @ 2020 DEPARTMENT OF EDUCATION Regional Office No. 02 (Cagayan Valley) Regional Government Center, Carig Sur, Tuguegarao City, 3500 “No copy of this materials shall subsist in any work of the Government of the Philippines. However, prior approval of the government agency or office wherein the work is created shall be necessary for exploitation of such work for profit.” This material has been developed for the implementation of the K to 12 Curriculum through the Curriculum and Learning Management Division (CLMD). It can be reproduced for educational purposes and the source must be acknowledged. Derivatives of the work including creating an edited version, an enhancement of supplementary work are permitted provided all original works are acknowledged and the copyright is attributed. No work may be derived from the material for commercial purposes and profit. Consultants: Regional Director Assistant Regional Director Schools Division Superintendent Assist. Schools Division Supt. Chief Educ. Supervisor, CLMD Chief Education Supervisor, CID Development Team Writers Content Editors Focal Persons ESTELA L. CARIĆO, EdD, CESO IV RHODA T. RAZON, EdD, CESO V MADELYN L. MACALLING, PhD, CESO VI EDNA P. ABUAN, PhD DANTE J. MARCELO, PhD, CESO VI OCTAVIO V. CABASAG, PhD RODRIGO V. PASCUA, EdD : Kaycee D. Corales, Lyka M. Curameng, Jonalyn G. Granado, Esperanza L. Narag, Cyril M. Pacunana : Inocencio T. Balag, EPS Math, SDO Isabela Cyril M. Pacunana, Fay P. Managuelod : Inocencio T. Balag, EPS Math, SDO Isabela Printed by DepEd Regional Office No. 02 Regional Center, Carig Sur, Tuguegarao City Address: Regional Government Center, Carig Sur, Tuguegarao City, 3500 Telephone Nos.: (078) 304-3855; (078) 396-9728 Email Address: region2@deped.gov.ph Note: Practice Personal Hygiene protocols at all times. i TABLE OF CONTENTS COMPETENCY Page No. Differentiate economics as social science and applied science In terms of nature and scope 1 Examine the utility and application of applied economics to solve economic issues and problems 5 Analyze market demand, market supply and market equilibrium 9 Determine the implications of market pricing on economic decision making 17 Differentiate various market structures in terms number of sellers, types of products, entry exit to market, pricing power and others 21 Analyze the effects of contemporary economic issues affecting the Filipino entrepreneur 25 Note: Practice Personal Hygiene protocols at all times. ii APPLIED ECONOMICS Name of Learner: ______________________________ Grade Level: ______________ Section:_______________________________________ Date:___________________ LEARNING ACTIVITY SHEET Economics as an Applied Science and as Social Science Background Information for Learners Economics as applied science applies economic theories to predict or provide solutions to the problems faced by the economy. On the other hand, economics as social science studies the behavior of individuals and how they react to the different economic issues like the problem of scarcity. Learning Competency with Code Differentiate economics as social science and applied science in terms of nature and scope ABM_AE12-Ia-1 Activity 1 True or False. Write the word True if the statement is true; write False if the statement is false. 1. Economics as social science has something to do with our everyday lives. 2. One a man is applying a job to sustain its basic needs shoes is an example of economics as social science. 3. There two branches of economics the microeconomics and the macroeconomics. 4. Applied Economics is an application of conclusion from the different economic theories. 5. Using economic theories, applied economics tries to address the central problem of economics which is scarcity. 6. The word economics derived from the Greek word” Oikonomus” meaning household management. 7. Adam Smith is the Father of economics. 8. Economics is applied in in our daily lives. 9. Scarcity is the central economic problem. 10. To address the unlimited needs and wants of the people with the limited resources is one of the significant concerns in economics. Note: Practice Personal Hygiene protocols at all times. 1 Activity 2 Differentiate economics as an Applied Science and as a Social Science. Write your answers inside the circles. Applied E Social Science C O N O M I C S Activity 3 Article/News Review Answer the following questions. You may use news articles, live/recorded interviews provided by the TV stations and your opinion in answering the questions. Don’t forget to write the complete references, website or TV station where it was lifted. 1. What is the status of the Philippine Economy while in combat with Covid 19 pandemic? What are the impacts of this pandemic in the different sectors of the economy? Summary of the Article/interview: ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ Reference/s: ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ Reaction/Opinion: ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ Note: Practice Personal Hygiene protocols at all times. 2 2. Applying Economics as a social science how did the people reacted to the different measures done by the government? How this Covid 19 pandemic affected the lives of the Filipino people? Summary of the article/interview/news: ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ Reference/s: ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ Reaction/Opinion: 3. Knowing Applied Economics and embracing the new normal, what are the initial plans and moves of the government to combat the effects of the pandemic to the economy? Summary of the article/interview/news: ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ Reference/s: ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ Reaction/Opinion: ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ Activity 3 Rubric: Exemplary Above average (18) Adequate Inadequate (15) (13) (20) Organization Writing shows high degree of coherence and logical reasoning. Writing is coherent and organized logically. Writing is coherent and logical, but some points are missing Content Content shows in synthesis of Content shows good points of Content is good Content is but with limited acceptable but Note: Practice Personal Hygiene protocols at all times. Writing lacks logical organization 3 Grammar ideas. It excellently addresses the question. ideas. It provides sufficient answer to the question. ideas. ideas are underdeveloped Essay is free from errors Essay is grammatically correct with minimal errors Essay is grammatically correct with few errors Errors are frequent Reflection: Complete the statement below. In this activity, I learned that ___________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ References: Viray, Edilberto B.,Jr. and Jesusa Avila-Bato, Applied Economics, Anvil Publishing,2018 Dinio, Rosemary R. and George A. Villasis,Applied Economics, Rex Bookstore,Manila,2017 Answer Key: Activity 1 1. 2. 3. 4. 5. True True True True True 6. True 7. True 8. True 9. True 10. True Note: Practice Personal Hygiene protocols at all times. 4 APPLIED ECONOMICS Name of Learner: _______________________________ Grade Level: ____________ Section:______________________________________ Date:___________________ LEARNING ACTIVITY SHEET Applied Economics in Addressing Economic Issues Background Information for Learners We analyze and propose solutions to the several issues and problems confronting the Philippine economy by applying different theories in economics. The basic economic problems confronting the Philippines are scarcity, population growth, unemployment, inflation, high levels of inequality, environmental poverty, weak infrastructure, and natural disaster. Applied Economics is about utilizing economic theories to explain economic events, government actions and recommend courses of actions for business, household, and government. Different application we have to use to solve these issues are trade-offs, opportunity cost, variations in benefit and cost, proper allocation of resources by answering the three basic economic questions; what, how and for whom to produce and other alternative way by the government to solve our economic problems. Learning Competency with Code Examine the utility and application of applied economics to solve economics issues and problems. ABM_AE12-Ib-2 Activity 1 Instruction: Application of trade-offs in scarcity of resources. In not more than four sentences explain the following scenarios. 1. What are some of the trade-offs faced by the Philippine government deciding whether to establish more national high schools in faraway provinces. _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ 2. Give at least four examples of trade-offs when scarce resources are used. a. __________________________________________________________________ b. __________________________________________________________________ c. __________________________________________________________________ d. __________________________________________________________________ Note: Practice Personal Hygiene protocols at all times. 5 Activity 2 Instructions: Application of opportunity cost and variations of benefit and cost. 1. What are the opportunity costs of a student who decide to study college? 2. Show how cost-benefit analysis can be used in explaining the family size among poor households. Activity 3 Other application use to solve economic issues and problems 1. With the given economic questions, determine what is being referred to by the following statements: a. Consider production possibilities and efficient use of resources b. Technology, human resources, and both c. Consider distribution of income (rich v. poor) 2. The Pantawid Pamilyang Pilipino Program (4 Ps) is a conditional cash transfer program that aims to alleviate poverty. What are the positive and negative sides of the program? 3. Compose a slogan on the importance of environmental protection. 4. Rubric Explanation 4 3 2 A complete response with a detailed explanation Good solid Explanation is Mises response with unclear points clear explanation Demonstrated Knowledge Shows complete understanding of the questions, ideas and procedures Shows substantial understanding of the questions, ideas and process Requirements Goes beyond Meet the Hardly meet Does not meet the requirement requirement the requirement the requirement of the problem Response shows some understanding of the questions 1 Points key Response shows complete lack of understanding Total Note: Practice Personal Hygiene protocols at all times. 6 Reflection Write your brief description of your experiences by answering the following questions. 1. What is the most important thing you learned personally? ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ 2. How do you feel that the activity relates to the real-world situations and problems? ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ 3. What difficulties you encountered when answering the activities? ___________________________________________________________________________ ___________________________________________________________________________ ________________________________________________________________________ ___________________________________________________________________ References: Carnaje, Gideon. Applied Economics, 1253 G. Araneta Avenue, Quezon City, Philippines: Vibal Group, Inc., 2016 Tullao, Tereso Jr. Applied Economics for a Progressive Philippines, Quezon City, Philippines: Phoenix Publishing House, Inc., 2016 Answer Key Activity 1 Possible answer: 1. Government has limited amount of funds to spend on different levels of education and various social services. More government spending on high school education might require less spending on elementary education and college education or might even require reduced spending on health care and highways. 2. a. Drinking a bottled water instead of a soda b. Watching movies at home versus watching movie in theater c. Buy new dress or two new t-shirts d. Vacation in Baguio or Boracay Activity 2 1. a. The money you would have earned if you worked instead b. Lose four or more years of salary while getting your degree Note: Practice Personal Hygiene protocols at all times. 7 c. Choosing to not go to a party hangout with friends or catch up on much some needed sleep. 2. The cost-benefit analysis can explain why fertility rate among women in poor families tend to have large families because they consider additional children as investments that can assist them in the future. They attach a higher value on the future contributions of these children on household welfare. The opportunity cost of having children is low since women in poor households are usually not working. With low cost and high benefits, there is an incentive to have more children in these households. Activity 3 1. a. What to produce? b. How to produce? c. For whom to produce? 2. Positive a. Parents are more optimistic about situation and their children’s future b. Households heads, spouses and other adults are more encouraged to work and set up their own business c. Reduction of severe situation among beneficiary children d. 4Ps beneficiaries consume more rice and cereals than non-beneficiaries e. Higher gross enrollment rate for beneficiary high school students f. Households spend more on basis nee such as food, education and medicine that stimulate the growth of the local economy. Negative a. Fewer workers in the agricultural sector b. The denial of the beneficiaries 4Ps program to commence hard work as they now get regular financial assistance c. Gives rise to corruption in poor areas where ATM cards of beneficiaries are monitored by local government officials. Note: Practice Personal Hygiene protocols at all times. 8 APPLIED ECONOMICS Name of Learner: _______________________________Grade Level: __________________ Section:______________________________________ Date:________________________ LEARNING ACTIVITY SHEET Demand, Supply and Market Equilibrium Background Information for Learners The analysis of supply and demand is a persuasive tool in understanding economic and business realities, issues, and problems. The idea underlying in the model is the price at which a product or a resource can bought or sold in various markets which is determined by the interaction of buyers and sellers who are making choices under the conditions of scarcity. The Law of Demand states that as the price goes up, the quantity demanded goes down and vice versa, considering other things is constant (ceteris paribus). Meaning price and quantity demanded has a negative or inverse relationship. On the other hand, the Law of Supply states that as the price goes up, quantity supplied goes up too and as the price goes down, the quantity supplied goes down too, considering other things are constant (ceteris paribus). Meaning price and quantity supplied has a direct relationship Learning Competency with code Analyze market demand, market supply and market equilibrium (ABM_AE12-Ic-3) Activity 1 Analysis of Demand Directions: Below is the demand schedule for hamburgers. Use this demand schedule for activity 1. and 1.2. Quantity Demanded Price (peso per unit) (units per week) 0 10 20 30 40 50 60 70 80 90 100 100,000 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 Note: Practice Personal Hygiene protocols at all times. 9 1. Graph the movement along the demand curve when the price of hamburgers falls from P/60 to P/40 per unit. Explain the movement of the demand curve 2. Graph the shifts of the demand curve when buyer would choose to buy 70,000 instead of 60,000 hamburgers at price P/40. Explain the shift of the demand curve. 3. The law of demand holds that people buy more at lower prices than a higher price. But some goods are bought largely because they have “snob appeal.” For example, some students in your school gain prestige by buying expensive brand name items. Does knowingly buying an item because it is expensive violate the law of demand? Activity 2. Analysis of Supply Directions: Below is the supply schedule for hamburgers. Use this supply schedule for activity 2.1. and 2.2 Price (pesos per unit) 0 10 20 30 40 50 60 70 80 90 100 Quantity Supplied (units per week) 0 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 100,000 1. Graph the movement along the supply curve when the price of hamburger rises from P/40 to P/60 per unit. Explain the movement of the supply curve. 2. Graph the shifts of the supply curve when the seller would choose to sell 50,000 instead of 40,000 hamburgers at price P/40. Explain the shift of the supply curve. 3. Many lanzones and rambutan farmers open temporary roadside stands during harvest season, even though prices are usually low at that time. In this case, as the price of their product falls, farmers sell more, not less. Is this an exception to the law of supply? Activity 3 Market Equilibrium Directions: Refer to the supply schedule above for the data needed in graphing price adjustments and market equilibrium. 1. At this price, the quantity demanded is 60,000, which is greater than the quantity supplied, 40,000. Graph the shortage occurs at any price below the intersection of the demand and supply curves. Explain the market shortage on the part of the buyer. Note: Practice Personal Hygiene protocols at all times. 10 2. At this price, buyers want to purchase 40,000 hamburgers less than the 60,000 hamburgers producers are willing to offer. Graph the market surplus occurs. Explain the market surplus among the sellers. Activity 4 Problem and application Directions: Analyze the situation carefully, explain your answer in not more than five sentences. 1. What happens to the equilibrium price and the equilibrium quantity of photographic film if the price of digital cameras decreases and the price of photographic developer increase while all other things remain constant? _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ 2. Gather news articles on the price of basic commodities including rice, sugar, pork, and chicken. Make a presentation on what is happening to their prices using demand and supply analysis. _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ Rubric Explanation 4 3 2 1 A complete response with a detailed explanation Good solid response with clear explanation Explanation is unclear Misses key points Demonstrated Knowledge Shows complete understanding of the questions, ideas and procedures Shows substantial understanding of the questions, ideas and process Response shows some understanding of the questions Response shows complete lack of understanding Requirements Goes beyond Meet the the requirement requirement of the problem Points Hardly meet Does not meet the requirement the requirement Note: Practice Personal Hygiene protocols at all times. 11 Reflection: Write your brief description of your experiences by answering the following questions. 1. What is the most important thing you learned personally? ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ 2. How do you feel that the activity relates to the real-world situations and problems? ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ 3. What are the difficulties you encountered when answering the activities? ___________________________________________________________________ ___________________________________________________________________ ___________________________________________________________________ ___________________________________________________________________ References: Carnaje, Gideon. Applied Economics, 1253 G. Araneta Avenue, Quezon City, Philippines: Vibal Group, Inc., 2016 Tullao, Tereso Jr. Applied Economics for a Progressive Philippines, Quezon City, Philippines: Phoenix Publishing House, Inc., 2016 Viray, Edilberto B.,Jr/ and Jesusa Avila-Bato,Applied Economics, Anvil Publishing,2018 Note: Practice Personal Hygiene protocols at all times. 12 Answer Key Activity 1 Quantity demanded (thousands of units per week) Quantity demanded (thousands of units per week) Explanation of movements along the demand curve The demand of hamburgers can be represented by a curve that slopes downward. As the price rises from P/0 to P/100, the number of hamburgers that buyers would choose to purchase per week falls from 100,000 to 0. 2. Quantity demanded Quantity Demanded Explanation of shifts of demand curve An increase in demand for hamburgers is indicated by a rightward shift of demand curve. A decrease in demand is indicated by a left-ward shift of the demand curve. 3. Brand name items are associated with higher quality. Some people have greater preference for high-quality products. Knowingly buying a high-quality product which happens to be Note: Practice Personal Hygiene protocols at all times. 13 expensive is not a violation of the law of demand. The law of demand says that people buy more at lower prices than at higher prices, holding other factors affecting demand- for examples, taste and preferences- constant. Activity 2 1. Quantity supplied (thousands of units per week) Explanation of movements along the demand curve The supply of hamburgers can be represented by a curve that slopes upward. In the figure as the price rises from P/0 to P/100, the number of hamburgers sellers would choose to sell per week increase from 0 to 100,000. 2. Shifts of the supply curve Note: Practice Personal Hygiene protocols at all times. 14 Explanation of the shifts of the supply curve An increase in the supply of hamburgers is indicated by a rightward shift of the supply 3.This is not a violation of the law of supply. The law of supply says that people sell more at higher prices than at lower prices, holding other factors affecting supply for example, productivity, cost of production and number of sellers. Activity 3 Explanation of market shortage At a price below the interaction of the demand and supply curves, a market shortage occurs. Competition among buyers will push the price up to the equilibrium price, P/50, the price at which the quantity demanded equals the quantity supplied (50,000). Note: Practice Personal Hygiene protocols at all times. 15 2. Explanation of market surplus At a price above the intersection of the demand and supply curves, a market surplus occurs. Competition among sellers will push the price down to the equilibrium price P/50, the price at which the quantity demanded equal the quantity supplied (50,000) Activity 4 1.Photographic developer is an input used in firm production. An increase in its price raises the cost of production, thereby causing the supply curve of photographic film to shift to the left. An increase in the price of photographic film does not shift the supply curve. Rather, it causes a rightward movement along the supply curve. An increase in the number of stores selling photographic film will cause the supply curve to shift to the right. Note: Practice Personal Hygiene protocols at all times. 16 APPLIED ECONOMICS Name of Learner: ____________________________ Grade Level: __________________ Section:_____________________________________ Date:________________________ LEARNING ACTIVITY SHEET Market Pricing Background Information for Learners We determine the implications of market pricing on economic decision making. When the price decreases, consumer tend to buy more, but when the price increases, the amount consumer can afford to buy tends to go down. The higher the price, the higher the quantity supplied. Learning Competency Determine the implications of market pricing on economic decision making. ABM_AE12Id-4 Activity 1 Instructions: Complete the table below by determining the quantity demanded at a given price. Price Per bottle(P) P0 2 4 6 8 10 Number of bottles (Qd) Illustration: Given: Required: Solution: Note: Practice Personal Hygiene protocols at all times. 17 Activity 2 Instructions: Assuming the supply function is given as: Qs=+5P Determine the quantity supplied of fish in kilos at a given prices Price of Fish (per Kilo) P 20 40 60 80 100 Supply (in kilos) Illustration: Given: Required: Solution: Activity 3: Problem Solving Instructions: Using the following demand function, solve for the demand schedule of consumer Robert given the following prices for bottled water: Qd=60-P/2 Prices P0 2 4 6 8 10 12 14 16 Note: Practice Personal Hygiene protocols at all times. Qd 18 Based on this schedule, construct a demand curve for Robert. Illustration: Given: Required: Solution: Rubric Activity Advanced -Students got 90% and above of the total items -Student shows mastery of the competency (20) Competent Students got 8589% of the total items. Student shows understanding of the competency. (17) Developing Students got 75-84% of the total items. Students show less understanding of the competency (14) Beginner Students got 74% and below Students show poor understanding of the Competency (10) 1 2 3 Reflection: In this activity I have learned that________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ Note: Practice Personal Hygiene protocols at all times. 19 References: Dinio, Rosemary P. and Villasis, George A., Applied Economics, Manila Philippines Answer Key: Activity 1 Determine the Number of Bottles. Price Per bottle P0 2 4 6 8 10 Number of bottles 6 5 4 3 2 1 Activity 2: Determine the Quantity Supplied of Fish. Price of Fish (per Kilo) P 20 40 60 80 100 Supply (in kilos) 200 300 400 500 600 Activity 3 Problem Solving Prices P0 2 4 6 8 10 12 14 16 Note: Practice Personal Hygiene protocols at all times. Qd 60 59 58 57 56 55 54 53 52 20 APPLIED ECONOMICS Name of Learner: ________________________ Grade Level: _____________________ Section : _______________________________ Date : ___________________________ LEARNING ACTIVITY SHEET Market Structures Background Information for Learners Market can be classified as either Perfectly Competitive Market (PCM) or Imperfectly Competitive Market (ICM). Perfectly Competitive Market (PCM) is a market characterized by the following: a. There are many buyers and sellers. b. The products are homogeneous. c. There is perfect mobility of resources. d. There is perfect knowledge of economic agents of market conditions such as present and future prices, costs, and economic opportunities; and e. Market price and quantity of output are determined exclusively by forces of demand and supply. Imperfectly Competitive Market (ICM) is a market which does not fulfil the conditions of perfect competition. And there are different types of Imperfectly Competitive Market, these are: a. monopoly which a single seller has control of entire supply of goods and services. b. Oligopoly where there are few numbers of sellers in the market selling products which are differentiated. c. monopsony means there is one buyer and many sellers: and d. monopolistic competition occurs when there are many sellers offering products that are similar but not identical. Learning Competency with Code Differentiate various market structures in terms of: a. number of sellers b. types of products Note: Practice Personal Hygiene protocols at all times. 21 c. entry/exit to the market d. pricing power e. others ABM_AE12-Ie-5 Activity 1: Am I Right or Am I Wrong? Directions: Write Right if the statement is correct and write Wrong if the statement is incorrect. Write your answer on the space provided before the number. __________1. Monopoly is a market structure in which there is only one buyer of a product for which there are no close substitutes. __________2. Under oligopoly the action of each firm does not affect other firms. __________3. Monopolistic Competition allows such variety of choices to the sellers. __________4. In Perfectly Competitive Market the producers have the power to influence the price of the product. __________5. Oligopoly is a market structure in which there are few sellers of a product and additional sellers cannot easily enter the industry. __________6. The consumers have the power to influence the price of the products and services in monopsony. __________7. Monopolists has no power to determine its output level and the price of their product. __________8. Government is the consumer in monopsony and the government employees are the producers. __________9. Advertisement is very important in perfectly competitive market to encourage buyers to buy certain products. _________10. Oil industry is an example of oligopoly. Note: Practice Personal Hygiene protocols at all times. 22 Activity 2: Where Do I Belong? Directions: Classify the products and services below. Write what market structure they should belong. Write your answer on the table below. Vegetable MRT Police Rice Shampoo Sardines Gasoline Public School Teachers Toothpaste Cement MAYNILAD Gold Fish Politicians MERALCO Perfectly Competitive Market Monopoly Oligopoly Monopsony Monopolistic Competition Activity 3. Market Structure Board Fill up the table by giving the needed information regarding market structure. Market Structure Perfectly Competitive Market Monopoly Number Sellers of Types of Entry/Exit to the Pricing Power Products/Services Market Oligopoly Monopsony Monopolistic Competition Reflection: What I have learned in this activity? ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ References: Dinio,Rosemary P. and Villasis George A, Applied Economics,2017 edition, Rex Book Store https:/www.economicshelp.com, https:/www.coursehero.com Note: Practice Personal Hygiene protocols at all times. 23 Answer Key Activity 1 1. Wrong 2. Wrong 3. Right 4. Wrong 5. Right 6.Right 7.Wrong 8.Right 9.Wrong 10.Right Activity 2 Perfectly Competitive Market Monopoly Oligopoly Monopsony Monopolistic Competition Vegetable MRT Cement Police Shampoo Rice MAYNILAD Gasoline Politician Sardines Fish MERALCO Gold Public School Toothpaste Teacher Activity 3 Market Structure Perfectly Competitive Market Number Sellers Many Monopoly One Oligopoly Few of Types of Entry/Exit to Pricing Power Products/Services the Market Heterogeneous/Identical There is Price Taker Freedom of (The producer entry/exit and consumer do not have power to influence the price. They should follow the prevailing price in the market.) Unique/One of a There are Price Maker kind/No substitute barriers to (The producer entry has the power to influence the price in the market.) Differentiated Some barriers Price Maker to entry (The producer has the power to influence the price in the market.) Note: Practice Personal Hygiene protocols at all times. 24 Monopsony Many Monopolistic Competition Many Differentiated (Many There services offered by the Freedom government) entry/exit is Price Taker of (The pricing power is on the hand of the consumers.) Similar products but not Low Barriers Price Maker identical to entry (The producer has the power to influence the price in the market.) Note: Practice Personal Hygiene protocols at all times. 25 APPLIED ECONOMICS Name of Learner: ______________________________ Grade Level: ___________ Section:______________________________________ Date:_______________ LEARNING ACTIVITY SHEET Contemporary Issues Facing the Filipino Entrepreneurs Background Information for Learners Filipinos normally invests for something to increase wealth. They are investing because they are expecting return on these investments, it could be in the form of dividends, interests, rents and the likes. In achieving those endeavors, we cannot go away from the reality that Filipino entrepreneurs are facing multiple challenges in the market. Some of these challenges are inflation, government policies and regulations, taxes, rent, wages, and other concerns that an investor should carefully look into in investing or conducting business. Remember that in every investment you take, there are risks and challenges involve. That is why it is also important to know your level of tolerance on these risks and challenges. Learning Competency with Code Analyze the effects of contemporary economic issues facing the Filipino entrepreneur. ABM_AE12-If-6 Activity 1: Directions: Identify the described contemporary economic issues facing the Filipino entrepreneur below. Choose your answer from the words inside the box. Write it on the space provided before the number. Investment Economic rent Rent Income Tax Minimum wage Capital gain Tax Value added Tax Percentage Tax Tax Minimum wage legislation ______1. It is defined as building up the capital stock for more future production and consumption. ______2. It refers to a payment made to or for a factor of production over and above the amount expected by its owner. ______3. It is the government control tool to prevent further exploitation of workers. ______4. It is the positive difference between the actual payment made for a factor of production to its owner and the payment level expected by the owner, due to its exclusivity or scarcity. ______5. It refers to the lowest wage per hour that a worker may be paid as mandated by the federal law. Note: Practice Personal Hygiene protocols at all times. 26 ______6. It is a compulsory contribution to state revenue, levied by the government on workers income and business profits. ______7. It is paid by the entities exempt from VAT with gross annual sale not exceeding a limit prescribed by the BIR of 3%. ______8. This is imposed on the sale of capital assets such as real estate properties and stocks. ______9. It refers to a tax on sale, lease and importation of goods and services of 12%. ______10. It is the common tax filed by employed and self-employed individuals. Activity 2: True or False Instructions: Write T if the statement is true and F if the statement is false on the space provided. _____1. Savings and investment are necessary to build the future. _____2. Economic rent exists due to market imperfections. _____3. The problem of inadequate wage is intertwined with the problem of unemployment. _____4. Taxes cannot distort savings, investment and consumption as income earners shift to substitute to avoid the tax burden. _____5. In short economic, rent is any earned income. _____6. Taxes is considered as inflows for the government and outflows for firms. _____7. Rent is one of the fixed costs of a business entity. _____8. Long-term investments are assets that a company intends to hold for a year. _____9. Short-term investments that a company has made is expected to be converted into cash for more than a year. _____10. Interest rate in a short-term investment is fixed but security risk and gain are low. Activity 3. Essay 1. Select one of the contemporary economic issues faced by the Filipino entrepreneurs then, discuss the short-term and long-term effects of these issues. _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ Note: Practice Personal Hygiene protocols at all times. 27 2. Describe the distorting effects of taxes to entrepreneurs. _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ ___________________________________________________. 3. Suggest solutions on how to address the problem on inadequate wage and unemployment. _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ Reflection Complete the statement below. In this activity, I learned that ___________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ References: Dinio, Rosemarie P. and Villasis, George A.,Apllied Economics, 2017 edition, Rex Book Store,Manila,Philippines. https://quizlet.com/306818801/contemporary-economic-issues-facing-the-filipinoentrepreneur-through-minimum-wage-flash-cards/ https://prezi.com/p/hushdrgxvcu4/lesson-6-contemporary-issues-facing-the-filipinoentrepreneur/ https://global.oup.com/uk/orc/busecon/economics/gillespie_econ4e/student/mcqs/ch21/ Answer Key Activity 1 1. 2. 3. 4. 5. Investment Rent Minimum Wage Legislation Economic Rent Minimum Wage 6. Tax 7. Percentage Tax 8. Capital Gains Tax 9. Value Added Tax 10. Income Tax Activity 2 1. T 2. T 3. T 6. T 7. T 4. F Note: Practice Personal Hygiene protocols at all times. 4. F 5. F 8. F 9. T 28