Learning and Innovation Skills - Critical Thinking and Problem Solving Skills
(Literacy for the 21st Century www.21stcenturyskills.org)
sound reasoning in understanding.
- Making complex choices and decisions.
- Framing, analyzing, and synthesizing information.
Learning Objectives - Economics www.mcrel.org
Level III (Grades 6-8); Level IV (Grades 9-12)
Standard 9: Understands
how GDP and inflation provide indications of the state of the economy.
10: Understands basic concepts of International economics.
Standard 1 : Scarcity
are limited. Therefore, people can not have all the goods and services they want;
as a result, they must choose some things and give up others.
3 : Allocation of Goods and Services
Different methods can be used to allocate
goods and services. People acting individually or collectively through government,
must choose which methods to use to allocate different kinds of goods and services.
concepts: Economic Systems, Market Structure, Supply, Command Economy, Market
Economy, Traditional Economy
Standard 4 : Role of Incentives
respond predictably to positive and negative incentives.
: Role of Economic Institutions
Institutions evolve in market economies
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.
Related concepts: Legal and Social Framework,
Mortgage, Borrower, Interest, Labor Union, Legal Forms of Business, Legal Foundations
of a Market Economy, Nonprofit Organization, Property Rights, Banking
11 : Role of Money
Money makes it easier to trade, borrow, save, invest,
and compare the value of goods and services.
Related concepts: Exchange,
Money Management, Money Supply, Currency, Definition of Money, Money, Characteristics
of Money, Functions of Money
Standard 15 : Growth
factories, machinery, new technology, and in the health, education, and training
of people can raise future standards of living.
Related concepts: Incentive,
Interest Rate, Opportunity Cost, Production, Technological Changes, Trade-off,
Trade-offs among goals, Human Capital, Intensive Growth, Investment, Physical
Capital, Productivity, Risk, Standard of Living, Economic Efficiency, Economic
Equity, Economic Freedom, Economic Growth, Economic Security, Investing, Business,
Businesses and Households, Factors of Production, Health and Nutrition, Savers,
Savings, Stock Market
Standard 16 : Role of Government
an economic role for government in a market economy whenever the benefits of a
government policy outweigh its costs. 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.
Related concepts: Externalities, Income, Natural Monopoly, Redistribution
of Income, Role of Government, Taxation, Transfer Payments, Bonds, Distribution
of Income, Income Tax, Maintaining Competition, Monopolies, Negative Externality,
Non-clearing Markets, Positive Externality, Property Rights, Public Goods, Maintaining
Regulation, Taxes, Regulation, Government Expenditures, Government Revenues
18 : Macroeconomy-Income/Employment, Prices
A nation'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.
Related concepts: Gross Domestic Product (GDP), Macroeconomic
Indicators, Nominal Gross Domestic Product (GDP), Per Capita Gross Domestic Product
(GDP), Potential Gross Domestic Product (GDP), Real Gross Domestic Product (GDP),
Standard 19 : Unemployment and Inflation
imposes costs on 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 living standards because
individuals and organizations use resources to protect themselves against the
uncertainty of future prices.
Related concepts: Types of Unemployment, Causes
of inflation, Consumer Price Index (CPI), Deflation, Labor Force, Unemployment,
Unemployment Rate, Inflation
Standard 20 : Monetary and Fiscal Policy
government budgetary policy and the Federal Reserve System's monetary policy influence
the overall levels of employment, output, and prices.
Inflation, National Debt, Tools of the Federal Reserve, Discount Rate, Federal
Budget, Fiscal Policy, Monetary Policy, Open Market Operations, Reserve Requirements,
Budget, Budget Deficit, Central Banking System, Budget Surplus, Causes of inflation