Business Education Teachers of: Albany High School Bethlehem Central High School Burnt Hills-Ballston Lake High School Guilderland High School Mohonasen High School I. ECONOMICS IN BUSINESS

Course Description

A. Grade 12 ½ year, ½ credit

Economics explained: everything you need to know about how the economy works and where it is going will be covered in this half-year course. Economics doesn’t have to be complicated—it can be very interesting and very relevant to our everyday lives. You will learn a logical way of thinking about economic matters through graphic representations, computer simulations, on-line research and reporting, and a seminar about economics with students from other schools. At the end of this course you will be prepared to make rational economic choices as citizens of a state, nation, and the world. This course will meet the economics course requirement for graduation.

June 2000 IX. ECONOMICS IN BUSINESS

Learning Standards/Performance Indicators:

Students Will: Define and apply basic economic concepts such as:

 Scarcity  Supply/demand  Opportunity costs  Production  Resources  Money and Banking  Economic Growth  Markets  Costs  Competition  World Economic Systems

Compare and contrast the United States economic system with other national economic systems, focusing on the three fundamental economic questions:

 What goods and services shall be produced and in what quantities?  How shall goods and services be produced?  For whom shall goods and services be produced?

Explain how economic decision making has become global as a result of interdependent work economy.

June 2000 2 of 2012 Understand the roles in the economic system of consumers, producers, workers, investors, and voters.

Apply a problem-solving model to:

 Identify economic problems or issues  Generate hypotheses  Test hypotheses  Investigate and analyze selected data  Consider alternative solutions or positions  Make decisions about the best solution or position

Present economic information and conclusions in different formats including:

 Graphic representation  Computer models  Research reports  Oral presentations

Source: NYSED School Executive Bulletin, October, 1999

June 2000 3 of 2012 REFERENCE MATERIALS USED FOR CURRICULUM DEVELOPMENT:

ECONOMICS TODAY & TOMORROW (0-02-823596-7), R. L. Miller, Glencoe/McGraw-Hill, 1999

ECONOMICS (0-538-43037-0 TE), Wilson & Clark, West Educational Publishing/Thomson Learning, 2000

ECONOMICS PRINCIPLES AND PRACTICES (0-02-823560-6), Gary E. Clayton, Glencoe/McGraw-Hill, 1999

BUSINESS IN A GLOBAL ECONOMY (0-538-62290-3), Les R. Dlabay and James Calvert Scott, South Western Publishing Co., 1996

ECONOMIC EDUCATION FOR CONSUMERS (0-538-68690-1), Roger LeRoy Miller and Alan D. Stafford, South Western Educational Publishing Co., 2000

ENTREPRENEURSHIP AND SMALL BUSINESS MANAGEMENT (0-02-644068-7), Dr. Earl Meyer and Dr. Kathleen R. Allen, Glencoe/McGraw-Hill, 2000

New York State Learning Standards

National Council on Economic Education Standards

June 2000 4 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard II. Microeconomics SS 4-1 NCEE 1 Career Development and A. Introduction to Economics The study of economics Productive resources are Occupational Studies 3A B. Choices requires an understanding limited. Therefore, people (CDOS) C. Opportunity Costs of major economic cannot have all the goods Universal Foundation D. Basic Economic Questions concepts and systems, the and services they want; as Skills: Students will E. Economic Systems principles of economic a result, they must choose demonstrate mastery of the F. Economic Decision-Making decision making, and the some things and give up foundation skills and Model interdependence of others. competencies essential for G. Private Sector vs. Public economies and economic NCEE 2 success in the workplace. Sector systems throughout the Effective decision making English Language Arts 1 world. requires comparing the (ELA) SS 4-2 additional costs of Language for Information Economics requires the alternatives with the and Understanding: development and additional benefits. Most Students will listen, speak, application of the skills choices involve doing a read, and write for needed to make informed little more or a little less of information and and well-reasoned something: few choices understanding. As listeners economic decisions in are “all or nothing” and readers, students will daily and national life. decisions. collect data, facts, and NCEE 3 ideas; discover Different methods can be relationships, concepts, and used to allocate goods and generalizations; and use services. People acting knowledge generated from individually or collectively oral, written, and through government, must electronically produced choose which methods to texts. As speakers and use to allocate different writers, they will use oral kinds of goods and and written language that services. follows the accepted conventions of the English

June 2000 5 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard NCEE 7 language to acquire, Markets exist when buyers interpret, apply, and and sellers interact. This transmit information. interaction determines English Language Arts 3 market prices and thereby (ELA) allocates scarce goods and Language for Critical services. Analysis and Evaluation: Students will listen, speak, read, and write for critical analysis and evaluation. As listeners and readers, students will analyze experiences, ideas, information, and issues presented by others using a variety of established criteria. As speakers and writers, they will use oral and written language to present, from a variety of perspectives, their opinions and judgments on experiences, ideas, information and issues. Math, Science, and Technology 1 (MST) Analysis, Inquiry, and Design: Students will use mathematical analysis, scientific inquiry, and

June 2000 6 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard engineering design, as appropriate, to pose questions, seek answers, and develop solutions. Math, Science, and Technology 2 (MST) Information Systems: Students will access, generate, process, and transfer information using appropriate technologies.

June 2000 7 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard III.Making Economic Decisions SS 4-1 NCEE 1 CDOS 3A A. Supply and Demand SS 4-2 NCEE 2 ELA 1 and 3 B. Pricing NCEE 4 MST 1 and 2 C. Types of Businesses People respond predictably D. Market Characteristics to positive and negative E. Competition incentives. F. Market Economy NCEE 7 G. Labor NCEE 8 H. Personal Income Prices send signals and provide incentives to buyers and sellers. When supply or demand changes, market prices adjust affecting incentives. NCEE 9 Competition among sellers lowers costs and prices, and encourages producers to produce more of what consumers are willing and able to buy. Competition among buyers increases prices and allocates goods and services to those people who are willing and able to pay the most for them. NCEE 17 Costs of government policies sometimes exceed

June 2000 8 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard benefits. This may occur because of incentives facing voters, government officials, and government employees, because of actions by special interest groups that can impose costs on the general public, or because social goals other than economic efficiency are being pursued.

June 2000 9 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard IV. Macroeconomics SS 4-1 NCEE 6 CDOS 3A A. Measuring Economic Activity SS 4-2 When individuals, regions, ELA 1 and 3 B. Distribution of Income and nations specialize in MST 1 and 2 C. Unemployment what they can produce at D. Inflation the lowest cost and then E. Money, Banking, Federal trade with others, both Reserve production and F. Monetary Policy consumption increase. G. Taxes NCEE 10 H. Fiscal Policy Institutions evolve in I. Economic Growth market economics to help individuals and groups accomplish their goals. Banks, labor unions, corporations, legal systems, and not-for-profit organizations are examples of important institutions. A different kind of institution, clearly defined and enforced property rights, is essential to a market economy. NCEE 11 Money makes it easier to trade, borrow, save, invest, and compare the value of goods and services. NCEE 12 Interest rates, adjusted for

June 2000 10 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard inflations, rise and fall to balance the amount saved with the amount borrowed, which affects the allocation of scarce resources between present and future uses. NCEE 13 Income for most people is determined by the market value of the productive resources they sell. What workers earn depends, primarily, on the market value of what they produce and how productive they are. NCEE 15 Investment in factories, machinery, new technology, and in health, education, and training of people can raise future standards of living. NCEE 16 There is an economic role for government in a market economy whenever the benefits of a government policy outweigh its costs.

June 2000 11 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard Governments often provide for national defense, address environmental concerns, define and protect property rights, and attempt to make markets more competitive. Most government policies also redistribute income. NCEE 18 A national’s overall levels of income employment, and prices are determined by the interaction of spending and production decisions made by all households, firms, government agencies, and others in the economy. NCEE 19 Unemployment imposes costs or individuals and nations. Unexpected inflation imposes costs on many people and benefits some others because it arbitrarily redistributes purchasing power. Inflation can reduce the rate of growth of national

June 2000 12 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard living standards because individuals and organizations use resources to protect themselves against the uncertainty of future prices. NCEE 20 Federal government budgetary policy and the Federal Reserve System’s monetary policy influence the overall levels of employment, output, and prices.

June 2000 13 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard V. World Economy SS 4-1 NCEE 3 CDOS 2 Integrated A. Global Markets SS 4-2 NCEE 5 Learning: Students will B. Economic Development Voluntary exchange occurs demonstrate how academic C. International Trade only when all participating knowledge and skills are parties expect to gain. This applied in the workplace is true for trade among and other settings. individuals or CDOS 3A organizations within a Languages Other Than nation, and usually among English 2 individuals or Cultural Understanding: organizations in different Students will develop nations. cross-cultural skills and NCEE 6 understandings. NCEE 17 ELA 1 and 3 MST 2

June 2000 14 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard VI. Entrepreneurship NCEE 1 CDOS 1 A. Starting a Business NCEE 2 Career Development B. Sole Proprietorships and NCEE 9 Students will be Partnerships NCEE 13 knowledgeable about the C. Corporate vs. Franchise NCEE 14 world of work, explore Entrepreneurs are people career options, and relate who take the risks of personal skills, aptitudes, organizing productive and abilities to future resources to make goods career decisions. and services. Profit is an CDOS 2 and 3A important incentive that ELA 1 and 3 leads entrepreneurs to MST 2 accept the risks of business MST 7 failure. Interdisciplinary Problem NCEE 15 Solving: Students will NCEE 17 apply the knowledge and NCEE 19 thinking skills of Unemployment imposes mathematics, science, and costs on individuals and technology to address real- nations. Unexpected life problems and make inflation imposes costs on informed decisions. many people and benefits some others because it arbitrarily redistributes purchasing power. Inflation can reduce the rate of growth of national living standards because individuals and organizations use resources

June 2000 15 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard to protect themselves against the uncertainty of future prices.

June 2000 16 of 2012 Content/Concept New York State National Council on Other New York Standard Economic Education State Standards Social Studies Standard VII. Finance NCEE 12 CDOS 1, 2, and 3A A. Consumption and Income NCEE 15 ELA 1 and 3 B. Saving and Investing NCEE 20 MST 1 and 2 C. Credit and Loans Health, Physical Education, Family and Consumer Sciences 3 Resource Management: Students will understand and be able to manage their personal and community resources.

June 2000 17 of 2012 Goals/Objectives Wks Activities Materials/Resources Assessments VIII. Microeconomics 2

A. Choices

1. Define economics as how people Read: pages 2 -7 allocate their limited resources to Lecture satisfy needs and wants Internet activity 2. Explain how limited resources force Discussion: How can people, and businesses to make you determine choices. whether or not something is truly a need? How can needs be confused with wants? Critical writing: Answer the following “If an item that everyone needs is scarce, how can it be allocated? B. Opportunity Costs Focus: Scarcity

1. Explain the relationship between Read: pages 12 – 16 trade-offs and opportunity cost. Q & A: Rain Forest, historical building & college education Assessment Chapter 2 Test

C. Basic Economic Questions Read: Pages 31 - 39 Graph - Choices. 1. Explain the economic questions i.e. Hands On: Small what will be produced, how will it group activity. Find

June 2000 18 of 2012 Goals/Objectives Wks Activities Materials/Resources Assessments be produced, who will produce it articles that discuss and for whom will it be produced. economic decisions. Internet activity: Focus on Free Enterprise- Amazon.com Discussion: Why can’t nations produce as much as they want? What factors are there to consider on how to produce? How should goods be distributed?

D. Economic Systems Group activity: Each group explains the 1. List and summarize the major advantages/disadvant economic systems i.e. market, ages of their assigned command, traditional and their system. Search differences magazines/newspaper s/internet for examples of each. Prepare bulletin board with results.

E. Economic Decision-Making Model Group activity: Divide class into three 1. Describe and give examples of groups. Each will

June 2000 19 of 2012 Goals/Objectives Wks Activities Materials/Resources Assessments economic decision-making models. prepare an economic 2. Explain the purpose of economic model using decision-making models. consumer testing of products.

Read pages 40 – 44 F. Private Sector vs. Public Sector and the Lecture American Economy Vocabulary

1. Describe the role of government in Focus: Market the free enterprise system. Economy 2. Explain the importance of freedom Discussion: What of enterprise in the American types of things might economy. cause a popular 3. List the advantages of private product to de property. discontinued? To 4. Identify the role of the profit what degree does the incentive. risk of losing money 5. Evaluate competition in the deter people from American free enterprise system. starting a new company? Why does it deter some people more than others? Writing activity: Type a page describing a situation in which quality was more important to you than price and vice versa. How did you compare quality?

June 2000 20 of 2012