How do people satisfy their
wants?
What
do you think you will learn
about in economics?
I can differentiate between a
traditional, command, market, and
mixed economy. SS-8-3.2.1
 Stay
in your group
 Do not talk to people
outside your group.
 5 minutes at each article
 Be responsible
• Do not write on boards or walls!
• I painted them.
What is the difference between the
economy of North Korea and the Nuer?
I can differentiate between a
traditional, command, market, and
mixed economy. SS-8-3.2.1
 Economic
decisions are
made by customs
 Tradition determines
what is produced
 Tribe owns the capital
• Anything that is used to
make goods and services
 Some
individual
freedom
 Ex. Tuareg, Nuer,
Samoans






Economic decisions are made by the government
Government determines what is produced
Government owns capital
No freedom of choice
No competition
Ex. Cuba, North Korea, former USSR
 In
your groups, create a play-doh scene
illustrating a traditional or command.
How would your life be different if you lived in a
traditional or a command economy? Choose 1.
I can differentiate between a
traditional, command, market, and
mixed economy. SS-8-3.2.1
 Free
enterprise – people make economic
decisions
 Private individuals determine what is
produced
 People own the capital
 Competition for a profit
 Ex. USA, Germany
 Government
provides some wants
 Businesses provide wants



Front – write the name and draw a
picture of each type of economy
Middle – How are economic decisions
made in each economy?
Bottom – List 2 characteristics of each
economy.
You do not need to write the questions.
Why is the US
considered a
mixed economy?
I can illustrate how goods and
services are produced, distributed,
and consumed. SS-8-3.4.1
 Want
– a desired product or service
 Good – physical product
• Ex?
 Service
else
• Ex?
– work performed by someone
1.
2.
Make a good out of play-doh
Make a service out of play-doh
What is the difference between goods
and services?
I can illustrate how goods and
services are produced, distributed,
and consumed. SS-8-3.4.1
1.
Land
• Natural resources
• Land, oil, gas, trees
2.
Labor
• Human resources
• mental and physical
3.
Capital
• Anything else is used to make
goods and services
• Buildings, tools, machines
 Determine
the land, labor, and capital
used to produce 2 of these services:
• Carwash
• Haircut
• TV repair
• Play
• Classroom lesson
 Create a product no
 Land – play-doh
 Labor – human resource
 Capital – tool
one has made before.
 Scissors, ruler, pencil
 In
your notebook, answer these 3 questions
as if you were going to actually manufacture
your product:
1.
2.
3.
Who will produce it?
How will it be distributed?
Who will consume it?
 Define
2
• Land
• Labor
• Capital
I can explain how competition impacts
economic decisions for producers and
consumers. SS-8-3.1.1 & SS-8-3.1.2
(8.EDM.5)
 Why
do businesses
compete?
 Producers offer
incentives
• Intrinsic Rewards–
 Healthy eating
 Donate money
• Extrinsic Rewards  Shopper cards
 Fly miles
 Gift cards
 Scarcity
- Resources are limited, wants
are unlimited
 What things are scarce?
• Why do NFL quarterbacks make more than
teachers?
• Why is a Ferrari worth more than a old car?
 Opportunity
Costs
• Happen because of scarcity
• Opportunity cost is the next best thing
• Every decision has an opportunity cost
VS
 Build
the best
Christmas present
EVER!
 Class Store
• Chose 2 items you want:
 Identify the gift you want
 Identify the opportunity
cost.
 Why can’t you have both?
Pick
up 1 can of
play-doh.
• Create an item for a
business that people
in Bath County would
like.
 Did
you have more
than 1 idea?
 Producers have an
opportunity cost too.
They have to decide
which is the best
product to sell.
 Do producers also
experience scarcity?
I can explain how money is used to
make saving, borrowing, and
investing easier. SS-8-3.3.2
 Trade
for the things they needed
 Money is not used
 Good things about trading?
 Bad things about trading?
Describe the pro’s and con’s of bartering.
I can explain how money is used to
make saving, borrowing, and
investing easier. SS-8-3.3.2
 Make
a product that you think students in
the class would really like.
Each of you will have $19. You may sell
your product for any amount.
Buy a product from a classmate.
Answer the questions below:
1.
2.
3.
•
•
•
What did you end up with?
Why was using money easier?
When you traded today, who benefitted?
1.
2.
3.
4.
5.
6.
Generally accepted
Counted and measured
Durable
Convenient and easy to
carry
Inexpensive to produce
Supply is easily
controlled
Why is using
money easier
than trading?
I can explain how price is affected by
supply and demand. SS-8-3.3.1 & SS-33.3.3
 Think
like a consumer
 As price increases, demand decreases
Demand of Pizza
12
10
8
6
4
2
0
Demand of
Pizza
1
2
3
4
Number purchased
Create a scenario describing the law of
demand. Be sure to draw the graph!
Using what you know
about the law of
demand, why won’t
this work?
I can explain how price is affected by
supply and demand. SS-8-3.3.1 & SS-33.3.3
 Think
like a producer
 As the price increases, quantity supplied
increases.
Qanitity Supplied of Cell
Phones
Price
100
Qanitity
Supplied
of Cell
Phones
50
0
20 40 80 100 200
Amount Supplied
 Graph
the slides on the next page.
Graph both lines on the same chart. Be
sure that the price goes on the y-axis and
# of tickets go on the x-axis.
Demand Chart
Supply Chart
Price
Price
Tickets
Sold
Tickets
Sold
500
$25
100
$25
400
$50
200
$50
300
$75
300
$75
200
$100
400
$100
100
$150
500
$150
$160
$140
Market Price
$120
$100
Demand
Supply
$80
$60
$40
$20
$0
100
200
300
400
500
 The
price at which producers and
consumers agree to trade
Create a scenario describing the law of
supply. Be sure to draw the graph!
Qanitity Supplied of Cell
Phones
Price
100
Qanitity
Supplied
of Cell
Phones
50
0
20 40 80 100 200
Amount Supplied
I can explain the government’s role in
the economy. (8.EDM.6)
1.
Produces money – US Mint
• Controls the money supply – the amount of cash,
coins, checking and savings accounts in the
country.
Taxes – a charge to fund the public
needs
2.
•
Why does the government issue taxes?
Government Budget
3.
•
How does the government spend our tax
money?
You are going to meet the
President of the US
tomorrow. Write a note to
the President suggesting
he work to increase tax
revenue to one thing?
How would more money
help the situation?
Be sure to include your
name!
How does the government spend our
tax money?
I can explain the government’s role in the
economy. (8.EDM.6)
4. Federal Reserve –
 Doesn’t even answer to the
President!
 Regulate the economy by
controlling interest rates.
Janet Yellen
Chairman of the
Federal Reserve
 The
amount people will
have to pay back when
they borrow money
• Higher interest rates = less
likely to borrow
• Lower interest rates = more
likely to borrow
 Read
article and answer the questions.
 Please write on your own paper.
1.
2.
3.
Where does the US spend most of its money?
Where does the US spend the least amount of
money?
What surprises you about the US budget?
Write
2 questions with answers
you think will be on the test.
 Level
0
• Break
• Retake
 Use
cover sheet
 Book as barrier
 When you are
finished
 Write
3 things you know about this chart.
•
Retakes
– Level 0
– Make-ups:
• Write the question. Write
one complete sentence
for the answer.
• No pronouns
• Must be checked
– Change answers on
original test
•
Finished
– Level 0
– Sign out iPad
– Dig It Up Vikings
• Read 6 of 10 short
articles
• Preview pictures in each
section
– Diary
• 2 entries
• 2 pics
• What would you see,
hear, and do if you were
an Ancient Roman?
 Explain
2 advantages or 2 disadvantages
of an assembly line.
 Pros
 Cons
• Increased productivity
• Boring
• Increased
• Less customization
interdependence
• Each member is
valuable
• Higher wages
• Inefficient/absent
worker
I can describe how new knowledge,
technology, and specialization increase
productivity. SS-8-3.4.2

2 Methods of Production
• Mass Production  Assembly line
 Division of Labor – each employee
has a different job, labor is
specialized
 Interdependent – rely on each other
• Customization – product
created with the consumer in
mind
Mrs. Bloomfield and Mr. Crouch own a bait
and tackle shop. They produce the best
fishing lures at Cave Run Lake. So many
fisherman want their lures that they stay
nearly sold out of the items and customers are
starting to complain. Bloomfield and Crouch
are considering hiring more employees and
developing an assembly line instead of
customizing their lures.
 Explain the 3 pros and 3 cons of the
assembly line!
 What
are your goals for this school year?
 Hamburgers
(mini-big mac)
 Divided into 2 groups
 Must follow directions
 Directions
• Use the 12 cans of play-doh to make
hamburgers. Take your time. Focus on making
your hamburgers as neatly as possible!
• Each person must make the complete portion of
the hamburger.
• Each burger must have a bun, meat, cheese,
lettuce, pickles, special sauce, and sesame seeds
on top.
 Directions
• Use the 12 cans of play-doh to make hamburgers.
Focus on making your hamburgers as quickly as
possible! This is a competition!!
• Create an assembly line. Divide the work like this:







1 bun
2 meat
3 cheese
4 lettuce
5 pickles
6 special sauce
7 sesame seeds on top.
 Specialization
in what is produced
 Specialization in who is producing it
• Assembly Line - division of labor
• Each employee works on just one part