Economics

1. find a computer (in your classroom, the library or a computer lab); 2. log on to http://mhs-cjuhsd-ca.schoolloop.com;    3. the student DOES NOT FILL OUT THE BOXES (yet); 4. the student clicks on “register now”; another page will open; the student clicks on “student registration” and follows directions; 5. the “student id number” for School Loop is always the “long” six-digit ID number; 6. select an EASY TO REMEMBER password

Vocabulary: pg. 151, 156, 166 & 172 1. What is a market structure dominated by one large seller? 2. Why must perfectly competitive markets always deal in commodities? 3. Why does government allow natural monopolies? 4. What kinds of government monopolies exist? 5. What is an oligopoly? 6. What is a cartel? 7. Why are economists skeptical about most claims of predatory pricing? 8. Why did the government pass antitrust laws? 9. What are some examples of industries that have been deregulated since the 70s and 80s? 10. What have been the benefits of deregulation?

1. How does the government intervene to protect public health, safety and well-being? 2. What are the main programs through which the government redistributes income? 3. What are the differences between the public and private sectors? 4. What are some examples of “negative externalities”? 5. What are some examples of “positive externalities”? 6. Why are street lights an example of a public good? 7. How does calculating GDP help the government track the business cycle? 8. What are the phases of the business cycle? 9. What’s the difference between micro and macroeconomics? 10. What is the government’s role in encouraging innovation?

Define Terms on pgs. 23, 28, 34 & 40 1. What are the three key economic questions? 2. What are the five main economic goals? 3. How do a traditional economy, a market economy, a centrally planned economy and a mixed economy differ? 4. How does a capitalist system allocate scarce resources? 5. Study the Circular Flow Model of a Market Economy on pg. 30. What is exchanged in the factor market? 6. What is exchanged in the product market? 7. What did Adam Smith mean by “The Invisible Hand” of the marketplace? 8. In what kind of economic system does the government own key industries? 9. How do socialism and communism differ? 10. Study the Circular Flow Model of a Mixed Economy on pg. 42. In what ways does the government participate in the marketplace?

Understanding Demand Buyers and Sellers What effect does their interaction have? Agreement on the price and quantity traded The Law of Demand When a good’s price is lower, consumers will buy more of it. How is “demand” different from want or need? a consumer who demands is wiling and able to buy the good or service at a specified price How is consumption measured? By the amount of a good that is bought The substitution effect When consumers react to an increase in a good’s price by consuming less of that good and more of other goods. The income effect The change in consumption resulting from a change in real income Market demand schedule A table that lists the quantity of a good all consumers in a market will buy at each different price See Figure 4.3 on pg. 81 Why do economists create market demand schedules? To predict how people will change their buying habits when prices change Demand Curve A graphic representation of a demand schedule

Evaluate the economic systems we've discussed to determine which is the best and which is the worst system. The student must present a clear and reasonable criteria by which the systems are evaluated and adhere to that criteria.