Dec 4, 2018

Quiz on chpt 8 this week

Due next week

Chapter 4

4(1)  Understanding Demand  (79-
Define:
demand
law of demand
substitution effect
income effect
demand schedule
market demand schedule
demand curve

Look a figure 4.1  What does the law of demand say about lower prices?

Look at figure 4.2  What two effects does it show?

What two types of demand schedules are shown on figure 4.3?

Section 1 questions  Group_______________________

4(2)  Shifts in Demand Curve
Define:
ceteris paribus
normal good
inferior good
complements
substitutes

What is pictured on page 85?

Look at 4.6  What is shifting?

What inferior good is pictured on page 86?

What expectation pictured on page 87 changed demand?

What complementary goods are pictured on page 88?

Section 4(2) questions :  Group  _______________________

4(3)  Elasticity of Demand
Define:
elasticity of demand
inelastic
unitary elastic
total revenue

Read Global connections (91)  What caused a change in the Indian government in 1988?

Look at the picture on page (93) Which demand is inelastic and which is inelastic?  Why?

Look at the picture (94)  How are economic conditions reflected in the two car advertisements?

Look at the 4.8 revenue table?  At what individual price do you think a pizzeria could maximize its revenue?  Why? Remember complementary products to pizza.

Look at figure 4.9 (96) How does revenue signal elasticity?

Section 4(3) questions   Group  _____________________

Chapter 8 questions due next week (November 9)

Chapter 8 Business Organizations

Section :  Sole Proprietorships 185-188)
Identify:  business organization,
sole proprietorship,
business license,
zoning law,
 liability,
fringe benefit
Look at figure 8:1 (p. 186) What are the top three characteristics of  an entrepreneur?
Look at figure 8:2 (p.
What are the benefits and disadvantages of sole proprietorships?

Read Jerry Yang profile (189) answer question 1.  Are there any changes since this book was published?

Section 2:  Partnerships (190-193)
Identify:  partnership
general partnership
limited partnership
Limited liability partnership (LLP)
articles of partnership
Uniform partnership act (UPA)
Assets
 Look at 8:3 (191) What are the majority of the size of recipts and type of partnerships?
What is the point of the political cartoon on page 192?
Answer questions 5 and 6 on page 193.

Section 3:  Corporations, Mergers, and Multinationals (195-200)
Identify  corporation
stock
closely held corporation
publicly held corporation
bond
certificate of incorporation
dividend
horizontal merger
vertical merger
conglomerate
multinational corporation (MNC)
What are the advantages and disadvantages of corporations?
Answer questions 5,6,7 on page 200

Section 4: Other Organizations (201-204)
business franchise
royalty
cooperative
consumer cooperative
service cooperative
producer cooperative
nonprofit organization
professional organization
business association
trade association
Answer questions 7+8 on page 204

Week of October 15, 2018 Business Interview-

Economics interview project

Entrepreneurs are the backbone of American Capitalism.

Interview a entrepreneur/sole proprietor/ or a business manager.

Presentations due week of October 29, 2018

Only Requirement: DO NOT ASK WHAT THE PERSON EARNS/YEAR

PowerPoint / visual needed for presentation

Speak to an Entrepreneur,  Sole Proprietor, partner, or manager of a business

Name of subject interviewed

Name of establishment and how long it existed

How long has the person worked at the establishment?

Story behind the start up or the person getting involved in establishment

Type of investment in business-

      Physical and human capital, natural

      Fixed costs

      Variable costs

Target audience, how do they reach their customer? (advertisement…)

How do they expand their market share?

Seasonal and cyclical nature of business?

Any indicators of  the business cycle changing?

Employee expectations?

How do local, state or federal regulations impact business?

What type role can government play in helping your business?

What types of sacrifices had to be made to make a successful business?

What are the benefits of owning or managing a business?

Words of wisdom to someone looking to enter the field?

Economics class expectations

Classroom expectations

Grading Policy:
Homework 15%
Class work 25%
Exams/presentations  60%


Bring a good attitude, a binder, and something to write with in class every day.  You will lose class participation points if you make the phone the center of your class.

You will have on average about an hour of homework each week.
Honors students will present 10 economic current event/podcasts  per term.
CP1 students will present 8 economic current event/podcasts per term.



I will be available for extra help almost every day, especially if you let me know you are coming.
My extra help day is Thursday at the Freshman homework club.

Economics Course outline

Economic Concepts

  Scarcity
  opportunity costs
  production possibilites curve
  role of saftety nets
  3 economic questions
Traditional, Command, Market Economies

Microeconomics
Supply and Demand
Elasticity
Market Equilibrium and the role of prices
Perfect Competition
Monopoly vs. Monopolistic Competition
Regulation and deregulation

Labor  and business
Sole Proprietorships
Partnerships,
Corporations


Macroeconomics
Fiscal Policy
Monetary Policy

Chapter 1 economics 2018-19

1(1)

 Economics

Need vs. Want-

Goods vs. Services

Scarcity vs. Shortage

Factors of production-  land, labor, capital

Physical vs. Human Capital

Entrepreneur-

Questions at end of section- Group______

1(2)
trade off

guns or butter

opportunity cost (best opportunity lost)

thinking at the margin (marginal analysis)

Questions at end of section-  Group  _______


1(3)
production possibilities curve

production possibilities frontier

efficiency

underutilization

cost

law of increasing costs  

Questions at end of section-  Group ______

Profile of Gary Becker  (p.7)  Questions 1-3   Group______

Safety at Any Cost  (p 19) Questions 1-2  Group  ______

Chapter 15

Chapter 15 Fiscal Policy
Read the Profile of John Maynard Keynes  (402) 
1. Before Keynes what did most economists think the role of the government should be?   How did Keynes change this role?   Why are Keynes' views controversial today?

15(1) Understanding Fiscal Policy (387)
2. Look at 15.1 (388) What is the role of the OMB (Office of Management and Budget)? Why do you think Congress has a CBO (Congressional Budget Office)?
3.  Look at 15.2 (389) What happens to aggregate demand when the government increases its spending? 
4. Look at 15.3 (390)  How might cutting taxes have a similar effect to government spending?
5. Read the Global Connections (392) what happened in Japan when it tried an expansionary fiscal policy?  Why not?
Answer questions #1-6 on page 393.  Odd/Evan

15(2) Fiscal Policy Options
Define :
classical economics
Keynesian economics
supply-side economics
multiplier effect
automatic stabilizer
productive capicity
What is pictured on page 397?  Why?
Answer questions 5+6 on page 401

15(3) Budget Deficits and National Debt
What is the difference between national debt and national deficit?
1. Look at the chart 15.9 (404)  What affect did the Bush (2002-2009 budgets) tax cuts have on the annual budget?
2. Look at 15.10 (406)  what is the point of the chart? 
3.  Look at 15.11 (407)  What is crowding out?
4. Look at fast fact (407) What would be a problem with a federal balanced budget amendment?
Answer question 4 on page 408.

Chapter 14

Chapter 14 (1)  What are taxes?
1.Look at the three types of tax sturctiures on page 360.  Identify the three types and and summarize their differences.
2. Which type of tax structure is identified on page 361.  Do you think this is fair?  Explain why.
3. Look at the cartoon on page 362.  Why are taxes necessary?
4. Look at the chart 14.3 on page 363.  What is the point of the chart?  Who do you think pays more taxes (incidence of tax) on an elastic demand : consumers or producers?  What about demand that is inelasitic:  consumers or producers?
Answer questions 3, 4, and 6 on page 363.

14(2) Federal taxes
1. Look at the Federal Income Tax Rates, 2003 (367).  Are these tax rates proportional or progressive?
2. Look at global connections (368)  What is a value added tax?  Would you recommend one for the US?  Why or why not?
3. What is a the point of the picture on 369? What is an incentive?
Answer questions #1-4 on page 369.

Read the profile on Henry J. Aaron. (370) 
What is an entitlement?  Why does Aaron have major concerns about  Social Security? 

Due Thursday:
14(3) Federal Spending
1. What is the point of the cartoon on page 374?
Answer questions 1-4 on page 374.

14(4) State and local taxes and spending
1. Why is the picture on page 375 in this section?
2. Look at the chart on page 376, What are three of the largest sources of state revenues in 2001, what are three of the largest state expenditures?
3. Look at picture on 377.  Should snow plowing be part of  a states operating or capital budget?
4.  Look at the fast fact on page 378.  Why do you think sales tax free NH has such high property tax rates?
Answer questions #1-4 on page 380.

Read real life case study (381)
How many tax cuts did President Bush pass?  Who do you think benefitted the most from these tax cuts?  Explain

Macro economics chapter 12

We are going to look at the problems in the US  20th century economy by reading parts of Rethinking America by Hedrick Smith.

Chapter 12: Gross Domestic Product and Growth

12 (1) p. 301  identify each of the key terms in 7 words or less for each term.

Look at the chart on page 302.  How does expenditure approach differ from income approach?

List 3 facts about the underground economy (p. 305)

Answer questions #1-7 on page 308  (odd/even)

12(2) p. 310   Identify the key terms in 7 words or less for each term.

What does the graph on page 312 show

What does the Global connection on page 314 show the relationship between?

What does the green flag on page 316 show?

Answer questions 1-5 on page 316 (odd/even)

Answer questions #1+2 on page  317

12(3)  Identify the key terms on page 318 in 7 words or less for each term.

How is capital deepening shown on the chart on page 322?

How does the fast fact on page 323 explain how innovations impact business efficiency?

Answer questions # 1-5 on page 324. (odd/even)

Answer questions 1+ 2 on page 325.

Macro Economics HW Chpt 13

What is the difference between micro and  macro economics?
What are the 3 national goals?
What does  C+I+ G+ (x-m) mean?
What is the difference between the multiplier effect and the acceleration principle?
How will the Federal Government shut down impact the economy?


13(1) Unemployment
Answer  Global connections question on page 335.
Questions 1-6 (odd/even) page 336

13(2) Inflation
What is a wage price spiral (page 342)?
Questions 1-6 (odd/even) page 343.

Read Oprah Winfrey (344)Answer questions 1+2 (odd/even)

13(3) Poverty
Look at poverty rates by group ( 346) What race and gender  has the highest and lowest rates of poverty.
What does the Lorenz curve (348) show?
Questions 1-8 (350) odd/even
Questions 1+2 on page 351.