What impact has the technology and social media had on the economics of the current generation of 8th grade students?
Introduction to Economics
Economics is the study of how people and societies choose to use resources. It looks at how people decide what to produce, how to produce it, and how to distribute it. Economics helps us understand how decisions affect our lives and the world around us.
Economics is best described as a study of:
- A. Money and markets
- B. Business and finance
- C. People and their choices
- D. All of the above
Intro to Economics
Supply and Demand: Supply and demand is an economic model of price determination in a market. It postulates that, holding all else equal, in a competitive market, the unit price for a particular good, or other traded item such as labor or liquid financial assets, will vary until it settles at a point where the quantity demanded (at the current price) will equal the quantity supplied (at the current price), resulting in an economic equilibrium for price and quantity transacted.
Opportunity Cost: Opportunity cost is the cost of any activity measured in terms of the value of the next best alternative forgone (the second best forgone opportunity). It is the sacrifice related to the second best choice available to someone, or group, who has picked among several mutually exclusive choices.
Marginal Utility: Marginal utility is the additional satisfaction a consumer gains from consuming one more unit of a good or service. It is also the change in the total utility a consumer receives from consuming one more unit of a good or service. Marginal utility is an important concept in economics and helps to explain the law of diminishing marginal returns.
Example: Supply and Demand
During a hot summer, the demand for ice cream increases, leading to higher prices. However, in the winter when fewer people want ice cream, the demand decreases and prices go down.
How does the concept of supply and demand impact prices in a economy?
Example: Opportunity Cost
When Sarah chooses to spend her allowance on a new video game, the opportunity cost is not being able to buy a book she wanted.
How does the concept of opportunity cost impact prices in a economy?
Draw a pickle wearing running shoes and doing the splits
Example: Marginal Utility
Imagine you have a chocolate bar. The first bite brings immense pleasure, increasing your satisfaction. But with each subsequent bite, the pleasure decreases slightly until it eventually becomes less enjoyable to eat more.
11. Personalised Feedback
How does the concept of Marginal Utility impact prices in a economy?
Example: Henry Ford's Assembly Line
Henry Ford's decision to introduce the assembly line in his factories was driven by economics. It increased productivity, reduced costs, and made cars more affordable for the average person.
Example: Historical Figures Making Choices Based on Economics
During the Great Depression, President Franklin D. Roosevelt implemented the New Deal to stimulate the economy by creating jobs and providing relief to Americans in need.
How did economics affect the choices made by historical figures? What were the economic implications of their decisions?
Example: Economy of the United States
The economy of the United States is like a giant puzzle, with different pieces working together. For example, when people buy groceries at a store, it helps the local farmers and truck drivers who transport the food. This creates jobs and keeps money flowing in the economy.
What economic forces are driving the world today? How do these forces affect our daily lives?
Draw a dancing robot trying to do the splits
What do you think the long-term economic impacts of historical decisions will be? How does understanding economics help us understand history better?
What economic changes do you think will shape the world in the future? What do you think the implications of these changes will be?
Design a comic strip illustrating the concept of supply and demand OR a historical figure making a decision based on economics.