Chapter 4 Mini-Test on March 15!
Unit 2 Comprehensive Test: March 27
Unit 2: Supply and Demand
This unit introduces students to the study of microeconomics. Students explore market behavior of individual consumers and firms in an attempt to understand the decision-making process of households and businesses. They examine the interaction between individual buyers/consumers and sellers/ producers and the factors that influence the choices they make. Through case studies and scenarios, students apply the Law of Demand and Law of Supply. In doing so, theyanalyze the interactions of buyers/consumers and sellers/producers when a market condition such as income, technology, size of the market, or price of compliment or substitute goods changes. Using a simulation, students discover how competitive pressures in a market economy resolve the differences between the goals of buyers and the goals of sellers. These competitive pressures, in the absence of any outside interference, result in a market clearing price (equilibrium). Students investigate how a variety of changes in the marketplace affect quantity demanded, quantity supplied, and the market clearing (equilibrium) price. In addition, students consider how changes in price affect the behavior of buyers and sellers (elasticity). Next, students analyze how incentives affect choices of individuals and organizations. Students then explore and assess the intended and unintended consequences of market distortions such as price floors and price ceilings in a market economy. The unit concludes with students engaging in substantive discourse about microeconomics in theory and practice.