HONORS ECONOMICS UNIT 5
3/17 - 3/28

UNIT 5 CONCEPTS AND VOCABULARY

Unit 5 Notes

Unit 5 Review Powerpoint

MONEY
MEDIUM OF EXCHANGE
MEASURE OF VALUE
STORE OF VALUE

COMMODITY MONEY
FIAT MONEY

GOLD STANDARD

MONEY SUPPLY
CIRCULATION
LIQUIDITY

COMMERCIAL BANK
INVESTMENT BANK

DEMAND DEPOSIT
BALANCE SHEET

BANK RUN

BANK RESERVES
FRACTIONAL RESERVE
INTEREST RATE

MORTGAGE

FORECLOSURE

FDIC
FEDERAL RESERVE SYSTEM

FEDERAL FUNDS RATE
DISCOUNT RATE
OPEN MARKET OPERATIONS

MONEY MARKET

BOND MARKET
TIGHT MONEY
EASY MONEY
DISCOUNT WINDOW

WEEK 11
3/17 - 3/28

LESSON

IN CLASS

HOMEWORK

Monday

Lesson 1

Portfolio Check

Essential Questions:

• How can the concepts we have learned so far be used to explain the fluctuations in the stock market?

• How are those fluctuations reflected in the changes in the value of your portfolio?

Activity: 

·         Student teams will have individual conferences to discuss current stock portfolios.

·         Using the SMG Portfolio rubric, each portfolio will be assessed on being current, complete, and accurate.

·         Students will be assessed on their knowledge and explanation of their current holdings and their evaluation of current holdings, market movements, and future transactions.

Bring:  laptop, portfolio, and pencil for worksheet.

Due: Your printed Stock Portfolio will be assessed Monday—it must be complete, clear, and accurate.  This is SUMMATIVE!  Here is the Rubric.

Read: Textbook, Chapter 10, pp. 248-255

Tuesday

Lesson 2

Money

Essential Questions:

·         What is so special about money?

Activity: 

·         Ask students to see a large bill ($50 or $100 is best) and hold it up next to a $1 bill from teacher wallet; Compare bills for size, shape, color, material, artwork – hand $1 bill back to student.

·         Class discussion about the nature of money and how it gets the value it does.

·         Elements for discussion: mediums of exchange throughout history (gold, silver, salt, etc.), value (property that allows purchasing power to be saved for future use), commodity money vs. fiat money vs. specie money

·         Five characteristics of money: portable, durable, divisible, limited availability, difficult to fake

Read: Textbook, Chapter 10, pp. 256-263

Concepts to Master:

·         Money

·         Commodity Money

·         Fiat Money

·         Medium of Exchange

·         Measure of Value

·         Store of Value

Wednesday

Lesson 3

Banking

Essential Questions:

·         How does the U.S. banking system function?

Activity: 

·         Brief overview of the history of banking.

·         Divide the class into four groups.  One group searches commercial banks, one savings and loan banks and credit unions.  Each group will research for ten minutes and then explain to the class what their institution does.  The fourth group will research the Federal Reserve System.

·         Presentations should cover: history, primary customers, purpose.

·         The Fed group will then tell everyone exactly where each group fits into the banking system.

Read: “Trump’s Negotiating Mind Games” and "Trump on Negotiations"

Watch: “Three Negotiating Tips from Donald Trump”

Concepts to Master:

·         Commercial Bank

·         Investment Bank

·         Federal Reserve System

Thursday

Lesson 4

Watch: The Apprentice Series 3.8

The candidates will produce a live auction to benefit The Pediatric AIDS Foundation. Each team will negotiate with five of the biggest artists in the music industry for a personal experience to be auctioned. The team that raised the most money for the charity will win.

Activity: Students should pay particular attention to assessing and grading the teams on the following:

• Negotiating Skills
  • Know Goals
  • Communicate Clearly
  • Listen and Assess
  • Compromise and Adapt
• Leadership

o    Prioritizing

o    Delegating

o    Collaborating

Assignment:  Complete the Apprentice Assessment worksheet.

Answers must be In Your Own Words.

This MUST be turned in at the END of class -- any assignment turned after class will be penalized 1 point

Bring:  Pencil for Video Quiz

*Makeup - to make the quiz up if you are excused absent the day of a video, follow these directions:

1. Watch appropriate episode of Apprentice online here.
2. Complete the Apprentice Assessment Worksheet in complete sentences, print out the worksheet, and hand in to Mr. Crawford in room 213.
3. This MUST be completed before the NEXT Apprentice assignment or it will remain a 0 for assessment purposes. 

Friday

Lesson 5

Negotiating Exercise

Activity: Teams will take on the roles of Union representatives, Business Management, and Company Shareholders to successfully negotiate a contract for the employees of the company.

Read: Textbook, Chapter 10, pp. 264-273; Personal Finance Appendix #6

WEEK 12
3/24 – 3/28

LESSON

IN CLASS

HOMEWORK

Monday

Lesson 6

The Flow of Money

Essential Questions:

• What happens when you write a check?

Activity: 

• Teacher led discussion about the route checks take to transfer wealth from one person’s account to another
• Students should be able to draw the path a check takes through the banking system and be able to explain how the reserve accounts in each bank change as the check moves through the system.

Read: Textbook, Chapter 16 pp. 418-428

Concepts to Master:

·         Liquidity

·         Demand Deposit

·         Bank Reserves

·         Interest Rate

·         Mortgage

·         Foreclosure

·         Bank Run

Tuesday

Lesson 7

The Federal Reserve System

Essential Questions:

What is the structure of the Federal Reserve Bank, and how does it function?

Activity: 

·         Federal Reserve Group (from Lesson 3) will divide between the other three groups and lead an examination to the role of the Fed.  Items to examine: control of the monetary supply, Federal Reserve structure, interest rates.

·         Teacher will conference with each group to assure understanding.

Read: Textbook, Chapter 17 pp. 455-466

Concepts to Master:

·         Discount Rate

·         Open Market Operations

·         Money Market

·         Bond Market

Wednesday

Lesson 8

The Federal Reserve System

Essential Questions:

How does the Federal Reserve Bank regulate the U.S. economy?

Activity: 

·         Teacher-led discussion about the role of the Fed as the bank of last resort.

Dissection of the 2007 financial collapse focusing on role of commercial banks and the Fed’s actions to moderate the crisis.

Concepts to Master:

·         Discount Window

·         Tight Money

·         Easy Money

Thursday

Lesson 9

Watch: The Apprentice Series 3.9

The teams’ next task will be to put on their own do-it-yourself clinic at a Home Depot store. Their clinics would be judged on originality, product placement, and customer involvement. Angie volunteered to be Project Manager for Net Worth while Craig reminded Magna that he was the only one who hadn't been Project Manager, and that his time to lead had come.

Activity: Students should pay particular attention to assessing and grading the teams on the following:

• Merchandising
  • Pricing
  • Product
  • Placement
  • Packaging
• Leadership

o    Prioritizing

o    Delegating

o    Collaborating

Assignment:  Complete the Apprentice Assessment worksheet.

Answers must be In Your Own Words.

This MUST be turned in at the END of class -- any assignment turned after class will be penalized 1 point

Bring:  Pencil for Video Quiz

*Makeup - to make the quiz up if you are excused absent the day of a video, follow these directions:

1. Watch appropriate episode of Apprentice online here.
2. Complete the Apprentice Assessment Worksheet in complete sentences, print out the worksheet, and hand in to Mr. Crawford in room 213.
3. This MUST be completed before the NEXT Apprentice assignment or it will remain a 0 for assessment purposes. 

Friday

Lesson 10

 International Finance

Essential Questions:

• How does the U.S. financial and banking system function on the world financial stage?

Activity: 

• Teacher-led small group discussions about international monetary systems and exchange.

• The purpose of this lesson is to understand how U.S. dollars became the dominant medium of exchange in the world and how they interact with the currencies of other countries.

• The impact of Federal Reserve policy on international markets will also be examined.

Concepts to Master:

·         Foreign Currency Reserves

·         Gold Standard

·         Exchange Rate

·         Floating Rates

·         Fixed Rates

·         Strong Currency

·         Weak Currency