Thematic Unit
Economics for 12th Grade
Jordan Gort
2/28/09
Chapter 1 Section 1
Teacher Candidate: Jordan Gort
Course: Educ 536
LESSON PREPARATION [before the lesson]
Topic:
Specific Strategy:
What is Economics?
Scarcity and the Factors of
Production
Subject:
Grade: 12th
Economics
State Standard:
CE.9 The student will demonstrate knowledge of how economic decisions are made in the
marketplace by
a)
applying the concepts of scarcity, resources, choice, opportunity cost, price, incentives, supply
and demand, production, and consumption;
b)
comparing the differences among free market, command, and mixed economies;
c)
describing the characteristics of the United States economy, including free markets, private
property, profit, and competition.
National Standard:
Choices made by individuals, firms, or government officials often have long run unintended consequences that can partially or entirely
offset the initial effects of the decision.
Primary Objective(s): The students will have an understanding of Scarcity and the Factors of
Productions and the terms in the sections
Classroom Diversity and Differentiated Instruction: There are a few students with ADD or
ADHD. They should be able to complete all of the assignments.
Materials/Equipment: Chalk board or a dry erase board
Technology Integration:
www.PHSchool.com
Character Principle: It is great to be an entrepreneur but it is also great to give back. Philippians
4:12-13 (New International Version)12I know what it is to be in need, and I know what it is to have
plenty. I have learned the secret of being content in any and every situation, whether well fed or
hungry, whether living in plenty or in want. 13I can do everything through him who gives me
strength.
LESSON PRESENTATION [Use at least one “P,” “A,” and “R” activity]
Set: The students will be asked to complete the “p” activity at the beginning of class. The
activity then will be graded.
Teacher Instruction: The teacher will give the overview lesson of the section next.
Guided Student Practice: The students will be given the “A” activity. The activity is to be done
while they read. The students must work alone
Independent Student Practice: The students will be given the “R” activity. This activity is to
be done alone.
Closure : Remind students that Economics is very important to people, businesses, and
governments. And that is important for those who can to give something back to the less
fortunate.
Summative Assessment: Instruct students to look at their “R” activity and change anything
that they need this time they can work in groups.
LESSON REFLECTION [after the lesson]-If lesson is not actually taught, describe expectations.
I would expect that the lesson was well received. I also think that the students will have learned all
of the main concepts and points and will be able to answer questions in detail about the activities.
“P” Preparation Strategies
Before you read Chapter 1 section 1
Answer the statement as True or False.
1. _______________
The study of economics begins with the idea that people
cannont have everything the NEED and WANT.
2. _______________
Economics is the study of how people seek and satisfy
their needs and wants by not making choices.
3. _______________
Services are actions or activities that one person
performs for another.
4. _______________
Capital is any human-made resource that is used to
produce other goods and services.
5. _______________
Scarcity is the same thing as a shortage.
6. _______________
Entrepreneurs are individuals who take risks to develop
original ideas.
7. _______________
Production is a factor of labor.
8. _______________
Human capital is the knowledge and skills a worker
gains through education and experience.
“A” Assistance
Chapter 1 Section 1
As you read fill in the blanks.
1. A need is something like ___________, _____________, or ________________.
2. A ___________ is an item that we desire but that is not essential to survival.
3. Goods are physical objects such as ______________and ______________.
4. _________________ implies ______________ quantities of resources to meet
_______________ wants.
5. Physical Capital includes ______________ and _________________.
6. _______________, _______________, and ____________ are the three main
benefits of physical capital.
7. An economy requires both _______________ and __________________ capital to
Produce goods and services.
8. ____________________ and ____________________ were Entrepreneurs .
9. All Goods and services are considered __________________.
10. A Building is considered _______________________.
“R” Reflection
Chapter 1 Section 1
Short Answer
Write one or two sentences per question. You may answer question on a separate
sheet.
1. Why is scarcity not the same thing as shortage?
2. Why is physical Capital important?
3. What are three needs and why they are important?
4. What are services and four examples of services?
5. What is the role of entrepreneurs?
6. Why is physical capital so important?
7. DRAW a diagram of the factors of production. (Hint figure 1.1)
Chapter 1 Section 2
Teacher Candidate: Jordan Gort
Course: Educ 536
LESSON PREPARATION [before the lesson]
Topic:
Specific Strategy:
What is Economics?
Opportunity Costs
Subject:
Grade: 12th
Economics
State Standard:
CE.9 The student will demonstrate knowledge of how economic decisions are made in the
marketplace by
a)
applying the concepts of scarcity, resources, choice, opportunity cost, price, incentives, supply
and demand, production, and consumption;
b)
comparing the differences among free market, command, and mixed economies;
c)
describing the characteristics of the United States economy, including free markets, private
property, profit, and competition.
National Standard:
 Marginal benefit is the change in total benefit resulting from an action. Marginal cost is the change in total cost resulting from an
action.
 As long as the marginal benefit of an activity exceeds the marginal cost, people are better off doing more of it; when the marginal
cost exceeds the marginal benefit, they are better off doing less of it.
Primary Objective(s): The students will have an understanding of Opportunity costs and the
terms in the sections
Classroom Diversity and Differentiated Instruction: There are a few students with ADD or
ADHD. They should be able to complete all of the assignments.
Materials/Equipment: Chalk board or a dry erase board
Technology Integration:
www.PHSchool.com
Character Principle: When you make a choice it means you have to give something else up.
Jeremiah 6:16 (New International Version)16 This is what the LORD says: "Stand at the
crossroads and look; ask for the ancient paths, ask where the good way is, and walk
in it, and you will find rest for your souls. But you said, 'We will not walk in it.'
LESSON PRESENTATION [Use at least one “P,” “A,” and “R” activity]
Set: The students will be asked to complete the “p” activity at the beginning of class. The
activity then will be graded. The class will switch papers with their neighbor and grade them.
Teacher Instruction: The teacher will give the overview lesson of the section next. The
students will need to take notes.
Guided Student Practice: The students will be given the “A” activity. This activity is a group
project. They will need to read their section together and then give a presentation.
Independent Student Practice: The students will be given the “R” activity. This activity is to
be done alone.
Closure : Remind students that all choices require sacrifices.
Summative Assessment: Instruct students to look at their “R” activity and change anything
that they need this time they can use their book. They are not allowed to ask others for help.
LESSON REFLECTION [after the lesson]-If lesson is not actually taught, describe expectations.
I would expect that the lesson was well received. I also think that the students will have learned all
of the main concepts and points and will be able to answer questions in detail about the activities.
They would have had a great time performing the group activities.
“P” Preparation
Chapter 1 Section 2
Before you read the section, define all of the Vocabulary Words listed.
1. trade-off
2. guns or butter
3. opportunity cost
4. thinking at the margin
“A” Assistance.
Groups
After the class has read the section once. The Class will be divided into seven groups.
Each group will get a section to re-read aloud. The group will then present the
section
to the class, summarizing main ideas.
Group 1 - Trade –offs
Group 2 – Defining Opportunity Cost
Group 3 – Decision-making Grid
Group 4 – Making the Decision
Group 5 – Thinking at the Margin
Group 6 – Making a Decision at the Margin
Group 7 – Cost and Benefit at the Margin
“R” Reflection
Chapter 1 Section 2
True/False
Answer the statement as True or False. If the answer is false correct it.
1. ___________________
A trade-off is an alternative that we must sacrifice when
we make a decision
2. ___________________
The decision we make do not involve trade-offs.
3. ___________________
The decisions that businesses make require trade-offs.
4. ___________________
Countries also make decisions that involve trade-offs.
5. ___________________
Resources are unlimited.
6. ___________________
Guns or butter is a phrase that refers to the trade-off
that nations face when choosing whether to produce
more or less military or consumer goods.
7. ___________________
Opportunity Cost is the least desirable alternative given
up as the result of a decision.
8. ___________________
When selecting one alternative, we have to sacrifice at
least one alternative and forgo its benefits.
9. ___________________
Thinking at the margin is deciding whether to do or use
one additional unit of some resource.
10. ___________________
It is important to study both the benefit and the costs at
the margin.
Chapter 1 Section 3
Teacher Candidate: Jordan Gort
Course: Educ 536
LESSON PREPARATION [before the lesson]
Topic:
Specific Strategy:
What is Economics?
Production Possibilities Curves
Subject:
Grade: 12th
Economics
State Standard:
CE.9 The student will demonstrate knowledge of how economic decisions are made in the
marketplace by
a)
applying the concepts of scarcity, resources, choice, opportunity cost, price, incentives, supply
and demand, production, and consumption;
b)
comparing the differences among free market, command, and mixed economies;
c)
describing the characteristics of the United States economy, including free markets, private
property, profit, and competition.
National Standard:
 Changes in the structure of the economy, the level of gross domestic product, technology, government policies, and discrimination
can influence personal income.
 In a labor market, in the absence of other changes, if wage or salary payments increase, workers will increase the quantity of labor
they supply and firms will decrease the quantity of labor they demand.
 Changes in the prices for productive resources affect the incomes of the owners of those productive resources and the combination
of those resources used by firms.
 Changes in demand for specific goods and services often affect the incomes of the workers who make those goods and services.
 Two methods for classifying how income is distributed in a nation the personal distribution of income and the functional distribution
reflect, respectively, the distribution of income among different groups of households and the distribution of income among different
businesses and occupations in the economy.
Primary Objective(s): The students will have an understanding of the Production Possibilities
Curve and the terms in the sections
Classroom Diversity and Differentiated Instruction: There are a few students with ADD or
ADHD. They should be able to complete all of the assignments.
Materials/Equipment: Chalk board or a dry erase board
Technology Integration:
www.PHSchool.com
Character Principle: it is important to remember that there are only a limited number of
resources. So it is important to decide when it is important to use the resource and when it is un
useful. Genesis 1:11-12 Then God said, "Let the land produce vegetation: seed-bearing plants
and trees on the land that bear fruit with seed in it, according to their various kinds." And it was
so. 12 The land produced vegetation: plants bearing seed according to their kinds and trees
bearing fruit with seed in it according to their kinds. And God saw that it was good.
LESSON PRESENTATION [Use at least one “P,” “A,” and “R” activity]
Set: The students will be asked to complete the “p” activity at the beginning of class. The
activity then will be graded. The class will correct the answers themselves. As the group
discusses the correct answers.
Teacher Instruction: The teacher will give the overview lesson of the section next. The
students will need to take notes.
Guided Student Practice: The students will be given the “A” activity. Is to be done alone while
the students read. They will need to fill in the blanks.
Independent Student Practice: The students will be given the “R” activity. This activity is to
be done alone.
Closure : Remind students that all resources are limited and that they need to be used carefully.
Summative Assessment: Instruct students to look at their “R” activity and as a class change
the answers as the class answers them together.
LESSON REFLECTION [after the lesson]-If lesson is not actually taught, describe expectations.
I would expect that the lesson was well received. I also think that the students will have learned all
of the main concepts and points and will be able to answer questions in detail about the activities.
I would also expect them to be able to understand a possibilities graph if one was given to them.
“P” Preparation.
Chapter 1 Section 3
Before you read the section put an X in the blank if you think the statement is false.
1. ___________________
As the United States entered World War II in 1941, it
faced an urgent task: create the weapons and
equipment needed to win the war of face defeat.
2. ___________________
Whether at war or not, nations much choose what to
produce.
3. ___________________
A productions possibilities curve is not a type of graph.
4. ___________________
Economies never operate inefficiently.
5. ___________________
Underutilization means using fewer resources the
economy is capable of using.
6. ___________________
A countries resources never changes.
7. ___________________
Cost is the alternative we give up when we choose one
option over the other.
8. ___________________
New inventions allow workers to produce more goods
at a higher cost.
9. ___________________
Human and physical capital reflect a vital ingredienttechnology.
10. ___________________
A country’s production possibilities depend on both its
technological level and the resources it has available.
“A” Assistance
Chapter 1 Section 3
Fill in the blank
As you read fill in the blanks with words from the word bank.
________________________________________________________________________
production possibility curve
production possibilities frontier
economist
underutilization
cost
efficiency
law of increasing cost
trade-off
________________________________________________________________________
1. ___________________
is a graph that shows alternative ways to use an
economy’s resources.
2. ___________________
is the line on a production possibilities graph that
shows the maximum possible output.
3. ___________________
is using resources in such a way as to maximize the
production of goods and services.
4. ___________________
uses fewer resources that an economy is capable of
using.
5. ___________________
to an economist, the alternative that is given up because
of a decision.
6. ___________________
as we shift factors of production from making one good
or service to another, the cost of producing the second
item increases .
7. ___________________
is an alternative that we must sacrifice when we make a
decision
8. ___________________
often use graphs to analyze the choices and trade-offs
that people make.
“R” Reflection
Chapter 1 Section 3
Answer the questions after you read.
1. List the 3 steps in the Law of Increasing Costs
1.
2.
3.
2. Why are resources important?
3. Why is technology important?
4. What does a production possibilities graph show?
5. Why is efficiency important?
6. Why is the quantity of resources in a country constantly changing?
7. Why do economist use Graphs?
Chapter 2 Section 1
Teacher Candidate: Jordan Gort
Course: Educ 536
LESSON PREPARATION [before the lesson]
Topic:
Specific Strategy:
Economic Systems
Answering the three Economic
Questions
Subject:
Grade: 12th
Economics
State Standard:
CE.9 The student will demonstrate knowledge of how economic decisions are made in the
marketplace by
a)
applying the concepts of scarcity, resources, choice, opportunity cost, price, incentives, supply
and demand, production, and consumption;
b)
comparing the differences among free market, command, and mixed economies;
c)
describing the characteristics of the United States economy, including free markets, private
property, profit, and competition.
National Standard:


Markets do not allocate resources effectively if: (1) property rights are not clearly defined or enforced, (2) externalities
(spillover effects) affecting large numbers of people are associated with the production or consumption of a product; or (3)
markets are not competitive.
An important role for government in the economy is to define, establish, and enforce property rights. A property right to a
good or service includes the right to exclude others from using the good or service and the right to transfer the ownership or
use of the resource to others.







Property rights provide incentives for the owners of resources to weigh the value of present uses against the value of
conserving the resources for future use.
Externalities exist when some of the costs and benefits associated with production and consumption fall on someone other
than the producers or consumers of the product.
When a price fails to reflect all the benefits of a product, too little of the product is produced and consumed. When a price
fails to reflect all the cots of a product, too much of it is produced and consumed. Government can use subsidies to help
correct for insufficient output; it can use taxes to help correct for excessive output; or it can regulate output directly to correct
for over- or under-production or consumption of a product.
When one producer can supply total output in a market at a cost that is lower than when two or more producers divide
production, competition may be impossible. In the absence of competition, government regulations may then be used to try
to control price, output, and quality.
Governments often redistribute income directly when individuals or interest groups are not satisfied with the income
distribution resulting from markets; governments also redistribute income indirectly as side-effects of other government
actions that affect prices or output levels for various goods and services.
Governments provide an alternative method to markets for supplying goods and services when it appears that the benefits to
society of doing so outweigh the costs to society. Not all individuals will bear the same costs or share the same benefits of
those policies.
A government policy to correct a market imperfection is not justified economically if the cost of implementing it exceeds its
expected net benefits.
Primary Objective(s): The students will have an understanding of the three economic
questions and the terms in the sections
Classroom Diversity and Differentiated Instruction: There are a few students with ADD or
ADHD. They should be able to complete all of the assignments.
Materials/Equipment: Chalk board or a dry erase board
Technology Integration:
www.PHSchool.com
Character Principle: It is important for citizens of a country to feel patriotism in order to
protect and pride oneself in their country. John 17:9-11 (New International Version)9I pray
for them. I am not praying for the world, but for those you have given me, for they are yours.
10All I have is yours, and all you have is mine. And glory has come to me through them. 11I will
remain in the world no longer, but they are still in the world, and I am coming to you. Holy
Father, protect them by the power of your name—the name you gave me—so that they may be
one as we are one.
LESSON PRESENTATION [Use at least one “P,” “A,” and “R” activity]
Set: The students will be asked to complete the “p” activity at the beginning of class. The
activity will allows the students to see how much they already know they will place a check
mark met to the words that they know.
Teacher Instruction: The teacher will give the overview lesson of the section next. The
students will need to take notes.
Guided Student Practice: The students will be given the “A” activity. Is to be done alone while
the students read. They will need to define the words.
Independent Student Practice: The students will be given the “R” activity. This activity is to
be done alone.
Closure : Remind students it is important for citizens of a country to feel patriotism in order to
protect and pride oneself in their country.
Summative Assessment: Instruct students to look at their “R” activity and as a group and the
students can change their answers then the will have to turn them into be graded.
LESSON REFLECTION [after the lesson]-If lesson is not actually taught, describe expectations.
I would expect that the lesson was well received. I also think that the students will have learned all
of the main concepts and points and will be able to answer questions in detail about the activities.
They would also be able to describe the differences of the four economic systems in the section.
“P” Preparation
Chapter 2 Section 1
Make a check mark if you know the definition
1.__________
command economy
2. _________
safety net
3.__________
standard of living
4. _________
factor payments
5.__________
economic system
6.__________
patriotism
“A” Assistance
Chapter 2 Section 1
Define the Vocabulary word.
1. Economic system
2. Factor payments
3. Patriotism
4. Safety net
5. Standard of living
6. Traditional economy
7. Market economy
8. Centrally planned economy
9. Command economy
10. Mixed economy
“R” Reflection
Chapter 2 Section 1
Answer the questions.
1. What are the three key economic questions?
1.
2.
3.
2. What goods and services should be produced?
3. How should goods and services be produced?
4. Who consumes goods and services?
5. What is economic equity?
6. What is the purpose of the safety net?
Chapter 2 Section 2
Teacher Candidate: Jordan Gort
Course: Educ 536
LESSON PREPARATION [before the lesson]
Topic:
Specific Strategy:
Economic Systems
The Free Market
Subject:
Grade: 12th
Economics
State Standard:
CE.9 The student will demonstrate knowledge of how economic decisions are made in the
marketplace by
a)
applying the concepts of scarcity, resources, choice, opportunity cost, price, incentives, supply
and demand, production, and consumption;
b)
comparing the differences among free market, command, and mixed economies;
c)
describing the characteristics of the United States economy, including free markets, private
property, profit, and competition.
National Standard:

The pursuit of self-interest in competitive markets generally leads to choices and behavior that also promote the national
level of economic well-being.



The level of competition in an industry is affected by the ease with which new producers can enter the industry and by
consumers' information about the availability, price and quantity of substitute goods and services.
Collusion among buyers or sellers reduces the level of competition in a market. Collusion is more difficult in markets with
large numbers of buyers and sellers.
The introduction of new products and production methods by entrepreneurs is an important form of competition and is a
source of technological progress and economic growth.
Primary Objective(s): The students will have an understanding of the Free Market and the
terms in the sections
Classroom Diversity and Differentiated Instruction: There are a few students with ADD or
ADHD. They should be able to complete all of the assignments.
Materials/Equipment: Chalk board or a dry erase board
Technology Integration:
www.PHSchool.com
Character Principle: Remember that a free market exist so that people can exchange for what
have for what they want. It works well if people look out for their self-interest but it is
important for Christians to look out for the good of man and not hurt our neighbors. Proverbs
11:25 A generous man will prosper; he who refreshes others will himself be refreshed
LESSON PRESENTATION [Use at least one “P,” “A,” and “R” activity]
Set: The students will be asked to complete the “p” activity at the beginning of class. The
activity will allows the students to see how much they already know they define the words that
they know
Teacher Instruction: The teacher will give the overview lesson of the section next. The
students will need to take notes.
Guided Student Practice: The students will be given the “A” activity. Is to be done alone while
the students read. They will need to define the words that they have not already defined or
change the ones they already have.
Independent Student Practice: The students will be given the “R” activity. This activity is to
be done alone. They need to answer the questions.
Closure : Remind students that a free market exists so that people can trade freely.
Summative Assessment: Instruct students to look at their “R” activity and as a group and the
students can change their answers then the will have to turn them into be graded.
LESSON REFLECTION [after the lesson]-If lesson is not actually taught, describe expectations.
I would expect that the lesson was well received. I also think that the students will have learned all
of the main concepts and points and will be able to answer questions in detail about the activities.
They will also be able to understand a circular flow model of the economy chart.
“P” Preparation
“A” Assistance
Chapter 2 Section 2
Define the words
1. Market
2. Specialization
3. Household
4. firm
5. Factor Market
6. Profit
7. Product Market
8. self-interest
9. incentive
10. Competition
11. Invisible hand
“R” Reflection
Chapter 2 Section 1
Answer the questions
1. Why does the market exist ?
2. What is a free market economy?
3. What is a circular flow model?
4. Describe the invisible hand?
5. What is the Wealth of Nations?
6. What are the four advantages of a Free Market?
Works Cited
Fleener, C., Morgan, R. F., & Richardson, J. S. (2008). Reading to Learn in the Content
Areas (7 ed.). Belmont, CA: Wadsworth Publishing.
O'Sullivan, A., & Sheffrin, S. M. (2006). Economics: Principles in Action (Student ed.).
Toronto: Pearson Prentice Hall.