Civics

//**Welcome Back! I hope everyone is well rested and excited for the beginning of a new school year! This wikispace site will be a valuable tool to help you keep current with assignments and more importantly stay organized. Your ability to stay organized, keep an accurate notebook, and study on a nightly basis will help you succeed in this class. In addition, these are vital skills for success in college and beyond.**// //**ALL ASSIGNMENTS ARE DUE ON THE DAY LISTED!**//



**START ECON** Intro: Remember too, that civilizations are forced to answer 3 fundamental economic questions - What, How, For Whom. What will we produce? How will we produce the good or service? For whom will we produce the item? Monday 2/5 Advertising - How do businesses manipulate our desires to purchase their product? Aristotle philosophized around 300 BC, that ultimately man's desires are a product of **Logos, Pathos, and Ethos**. What do these terms mean? We will also identify them in the most popular super bowl commercials. [] Pages 3 and 4 do a great job with this concept. HW Due Friday 2/9 Identify in your notes the **4 factors of Production** - Land, Labor, Capital and Entrepreneurship. Remember, for Capital you need to know **Financial and Physical Capital.** For Homework - pick a product and make a list of the factors of production that go into the production of the product. You should also describe the entrepreneur's vision for their product - what motivated **them to invest time, energy, and money into the product? What** profit **did they expect?** I might for example pick a mcdonalds hamburger. Land - Beef and other fillers, salt and other chemicals, the bread (flour/water) for the bun, ketchup (tomatoes), and mustard and a pickle. And the paper it is wrapped in. Labor - A chef that cooks the beef., Someone wraps it and puts it in a bag. A register worker. A manager overseeing all aspects of the restaurant. Capital - Physical - Grill, the Restaurant, Tables and Chairs. Financial - Money from a bank or franchise from mcdonalds. Entrepreneurship - In the 1950's an idea to offer fast, cheap, delicious hamburgers for 5 cents. 2/13 - In class - Free Market vs Command Economies. What are the strengths and weakness of these popular forms of government. Milton Friedman Reads Leonard Read's **famous essay** //I Pencil// **(1958)** 1. What is Friedman's message about the miracle of the Free Market? 2. Explain how the following terms apply to his message: Miracle of Price, Peaceful Cooperation, Price System, Voluntary Exchange, Zero Sum Game 3. You also need to be able to explain the historical context of this famous document. [] A different look at Read's message: []

In Class - Finish Leonard Read's I Pencil. Review the characteristics, strengths/weaknesses of Command and Free Market Economies. New Information - Describe the role of the individual household**, the** firm**, and the** government **in both a free market and command economy.** Explain why most modern economies are better described as being mixed** (having elements of both command and free market economies). Finally, Review the lesson of the Paradox of the Diamond
 * You must also be able to distinguish between the product and factor market.**

ECON QUEST THURSDAY 2/22 START UNIT 2 - SUPPLY, DEMAND, PRICE


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 * [[file:byrnehistory/demand.pptx|Download]]
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You should be able to... 1. Identify the laws of Supply and Demand in both words and graph form. 2. define the Latin phrase Ceteris Paribus and explain its importance to the study of economics. 3. Identify the 2 rules that Economists use to explain the Law of Demand. (Income/Subst) 4. Identify the 4 factors that influence Demand (Substitutes, Relative Importance, Necessity vs. Luxury, Change over time (short run/long run). Next, be able to explain the factors that cause the demand curve to shift. What does it mean to shift to the Left? The Right? (Income, Consumer Taste, Future Exp) 5. Understand the importance of Elasticity. Know how to calculate it and understand what the numbers mean. WORKSHEET FOR ENRICHMENT 6. Know and Understand the Total Receipts Test. TR = P x Q 7. Define Revenue and understand what it means to "think on margin". Understand the concept of Marginal Product and be able to define the 3 stages of marginal product. Of the stages, which is optimal? Why? (Think Paper Chain Simulation) 8. Be able to differentiate between and provide examples of fixed and variable costs.(Tax,Wage,Power,Rent) Explain the concept of Marginal Cost and explain why it is important to producers. 9. Explain what a sin tax is. Describe the 2 places that taxes are added to a product and what the effect is on the consumer. 10.<span style="font-family: "Arial","sans-serif"; font-size: 13.33px;">Understand Price Equilibrium and Disequilibrium. What do these conditions signal to buyers and sellers? Identify them on a price schedule and curve. WORK SHEET!

<span style="font-family: "Arial","sans-serif"; font-size: 13.33px;">11.Understand the 3 advantages of price and the government use of Price Floor and Ceiling. (Rent/Min Wage/Nat. Disaster/Price Support - Agriculture/Industry) <span style="font-family: "Arial","sans-serif"; font-size: 13.33px;"> (<span style="font-family: "Arial","sans-serif"; font-size: 13.33px;">ncentive,Signal, Flexible) <span style="font-family: "Arial","sans-serif"; font-size: 9.33px;"><span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">Monopoly - (4 Conditions - 1 Firm, No Variety, Barriers, Complete Control)1. Why do Monopolies Exist? What Problems do they present?2. How do Monopolies Form? (Economies of Scale, Natural Monopoly, Technological Monopoly)3. How and why do Governments encourage and allow monopolies? (Patent, Franchise, License)4. Why do companies discriminate using price? (Target Groups, Discounts, Rebates, Senior/Child Discount, Children Fly Free)
 * <span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">Start Competition **<span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">1..What is Competition? Why is it essential in a free market economy? <span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">2<span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">. Discussion Perfect Competition (Many buyers and sellers, Identical Products, Informed buyers and sellers, Ease of entry and exit)   <span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">Commodity - A product that is the same regardless of who sells it. Examples?  <span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">3. Barriers to Entry (Start up cost and Technology)  <span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">Competition <span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">Project You will pick (I approve) 2 companies and 2 products that they produce and research how they compete.1. A short history of both companies explaining their founding, mission, and significant past products. (2 paragraphs per company)2. A picture/diagram of the 2 products that you are comparing. Be creative and neat here! A. What are some similar features that the 2 products share?B. What are some differences between the 2 products? (Product Differentiation)

<span style="color: #0000ff; font-family: "Arial","sans-serif"; font-size: 9.33px;"> For our test on economic competition, You must be familiar (very familiar) with the following:
 * <span style="color: #0000ff; font-family: "Arial","sans-serif"; font-size: 9.33px;">[|Details]
 * <span style="color: #0000ff; font-family: "Arial","sans-serif"; font-size: 9.33px;">[[file:byrnehistory/Price discrimination.docx|Download]]

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Why are razor blades so expensive? What is 2 Part Pricing? You must be able to describe 2 other examples of this phenomena. []

4/20 Honors - Since we have art festival today - I am going to ask you to review and take notes on the following 2 short videos. As you review and take notes - think about the advantages of the following forms of business organization - Sole Proprietor, Partnership, Corporation, LLC, S and C and B Corps. For the first video, just watch about half - through B Corp. Generally, considering the scope of our studies, you can link S and C corp together - just contrast them and pay attention to considerations when choosing between the 2. []

The second video is more of a review of all of the forms of business organization. I think it is easier to view.

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Stock Market Terms Ticker Symbol, 52 wk hi/lo, Volume, Net Change, PE Ratio We have also spoken about 2 essential ideas for the stock market - Diversification is important and generally, the stock market is played for the long term. []

PE Ratio Explained - How is the ratio calculated? Explain the advantages and disadvantages of this tool []

10 Golden Financial Rules - You must understand these! We will go over many more! []

HW DUE MY TUESDAY May 8 Interview your parents and ask them what they consider the 2-3 most important personal finance/responsibility lessons they think you should learn. Ask them to not only define, but provided examples of the lesson. You should also ask them how the lesson will help you in both the short (1-5 years) and long (your life) run. Paraphrase their responses in your own handwriting. You should not just give them the questions to answer. You need to talk to them!

HW Due by Friday - Read and briefly summarize the main points of the following opinion editorial. What does the author propose? Do you agree or disagree and for what reasons. What type of learner/employee are you? []

In Class Investment Research. We have, over the past few weeks, spoken and learned a lot about the stock market. I would want all of my students to understand the importance of markets as related to the health of our economy and, through careful investment, their individual financial security. The reality is that most of you, due to the complexity and pace of life, will not actively "play" the market but will indirectly pay financial planners to manage your money. As we approach the end of the year, one of your last assignments will be to be familiar with other common forms of investment. You will research and report on the following. 1. Define the form of investment. 2. Educate the class on the advantages and disadvantages of the investment. Key Terms - Diversification Liquidity Blue Chip Dividend Bonds - Par Value, Coupon Rate, Maturity, Yield, Risk (Moodys), Junk Mutual Funds - Expense Ratio, Alpha, Beta, Load, Net Asset Value CD - Interest Rate, Maturity, Early Withdrawal Penalty Real Estate - REIT

<span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">Credit <span style="color: #0000ff; font-family: "Arial","sans-serif"; font-size: 9.33px;">[] <span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">What determines your credit score? How is your score calculated? How will your score be used? (Remember Jobs and Insurance Rates - There are others!)Some other questions:Who are the big 3 Credit Reporting Agencies - Equifax, Transunion, Experian.Who, or What is FICO? How do they determine your credit score? What is a merged report?What is the difference between a Revolving and Installment Account? What does an I/R 1,2,3,4,5 mean?Understand what Public Records mean - Collection, Repo, Foreclosure, BankruptTest Thursday - Credit, Labor, Business Org.Wednesday 5/3Start Money and Banking

<span style="color: #0000ff; font-family: "Arial","sans-serif"; font-size: 9.33px;"> <span style="font-family: "Arial","sans-serif"; font-size: 9.33px;">Define Money.Discuss why, since the ancient world, money has been a vital part of civilization. Identify 3 important functions of money.Identify and define 5 characteristics of money.2 Important Terms: Commodity Money, Inconvertible Fiat Money Standard5/5A short history of money.Describe some forms of money throughout history?Identify the 5 characteristics of money.THE FEDOrganized. (7 member board/14 yr term. Pres. Appt/Senate confirm)Chairman - Pres apt / Senate conf. 6 yr termMember bank Presidents= leadershipRole- Central Bank! Promote healthy economy!How????- Discount Rate- Fractional Reserves- Open Market Operations
 * <span style="color: #0000ff; font-family: "Arial","sans-serif"; font-size: 9.33px;">[|Details]
 * <span style="color: #0000ff; font-family: "Arial","sans-serif"; font-size: 9.33px;">[[file:byrnehistory/Chapter 12 - Money and the Banking System.ppt|Download]]
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