Social Studies 5/4
• Get your spiral from the table
• Fill in your planner
• Warm-Up on page 70 this week:
– What is the biggest thing you learned from going
to Outdoor Ed last week?
• If you didn’t go to OE, answer this question:
– What is the biggest key to teamwork?
Learning Target this Week
• We are learning to distinguish between the
three major types of economic systems.
– Traditional
– Command
– Market
• The purpose is to determine which system
works best, and explain why
By the end of the week we will…
• Explain the difference between traditional,
command, market, and mixed economies
• Explain why every country must have an
economic system
• Explain the behavior of buyers and sellers in a
market
• Explain how a market price is determined
• Explain the effects of a price floor and a price
ceiling
• Identify and explain different economic and
social goals
Tasks This Week
• Monday – Vocabulary, begin Basic Info
reading
• Tuesday – Finish Basic Info reading and
Questions
• Wednesday – Corn Market game
• Thursday – Assessment
Refresher on Economic Terms
• Productive Resources – natural, labor, and capital
resources that are required to produce goods and
services
• Scarcity – the idea that there is not an infinite
amount of resources
• Supply – the amount of goods/services available
• Demand – the level of want for the
goods/services
New Vocabulary
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Economic Systems
Traditional Economies
Command Economies
Market Economies
Market
Trade-Off
Vocab Instructions
• Use pages 71-72 of your spiral
• For each term:
– Write down the term
– Write down the definition
– Write down one question that you would like
answered about that term
• Something that confuses you
• Something you need clarified
• Something you think another student may want to
know
Economic Systems
• Definition – how countries make decisions
about how to use scarce productive resources
Traditional Economy
• Definition – An economic system in which
economic decisions are made largely by
custom and history
– “the way we’ve always done things”
Command Economy
• Definition – an economic system in which a
central, governmental authority decides how
to use a country’s productive resources
– One decision-maker
Market Economy
• Definition – an economic system in which
individuals own and decide what to do with
productive resources
– Sometimes called “free market”
Market
• Definition – anywhere buyers and sellers
exchange goods and services
Trade-Off
• Definition – getting less of one thing in order
to get more of something else
Basic Instruction reading
• Read through the stapled packet
– Class set – do not write on it please!
• Answer the questions on the handout
– This is your copy – please do write on this one!
• Question #4 – answer is COMAND ECONOMY
• You will have some time to finish this
assignment tomorrow too
– Your goal today is to get a start on the reading
and/or questions
Group Activity
• As a group, read through the instructions
• As a group, respond to questions a-k on your
handout
• Be prepared to defend your answers if you are
called upon
Corn Market Game
• Goal – Make as much money as possible
either buying or selling corn
• Buyers – pay as little as possible for corn
• Sellers – get as much as possible for corn
Rules
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Each corn card represents 10 bushels of corn
Buyers may only do business with Sellers
Sellers may only do business with Buyers
Write down your negotiated price on the
Score Sheet after each trade
• SELLERS ONLY – you must tell Mr. Davis how
much you sold for after each trade
Round 1
• Each BUYER gets one card
– You may not buy for more than your ceiling or you will lose
money
– You get a profit for anything under your ceiling
– Negotiate for the best price possible with different
SELLERS
• Each SELLER gets one card
– You may not sell for less than your floor or you will lose
money
– You get a profit for anything over your floor
– Negotiate for the best price possible with different BUYERS
Round 1
• After each trade, you must put your old card
on the bottom of the stack, and draw a new
card
• This will be your new Floor or Ceiling
• Round 1 will go for 25-30 total trades
Calculating Profit/Deficit
• Each trade represented 10 bushels of corn
• Your profit/deficit must be multiplied by 10
Trends/Conclusions
• Look at the Corn Market Tally Sheet
• What do you notice about the price patterns?
Round 2
• BUYERS – announce loudly what you are
willing to pay for corn
• SELLERS – listen to the buyers and sell
accordingly
Calculating Profit/Deficit
• Each trade represented 10 bushels of corn
• Your profit/deficit must be multiplied by 10
Trends/Conclusions
• Look at the Corn Market Tally Sheet
• What do you notice about the price patterns?
Round 3
• It’s become difficult for the poor buyers to buy
the corn they need to feed their families
• The government has set a price ceiling of
$1.80 on corn
• It is now illegal to sell corn above that price
Calculating Profit/Deficit
• Each trade represented 10 bushels of corn
• Your profit/deficit must be multiplied by 10
Trends/Conclusions
• Look at the Corn Market Tally Sheet
• What do you notice about the price patterns?
Round 4
• Poor farmers are not able to make enough
money to feed their families
• The government has put a price floor at $3 per
bushel.
• It is now illegal to sell below that price
Calculating Profit/Deficit
• Each trade represented 10 bushels of corn
• Your profit/deficit must be multiplied by 10
Trends/Conclusions
• Look at the Corn Market Tally Sheet
• What do you notice about the price patterns?
Corn Market Debriefing Questions
• Answer the debriefing questions as a group
Individual assignment
• Read “The Waterville Miracle!”
• Complete the handout individually
• Make sure to explain your plan for #3!!