The Role of the Economist
Students investigate how economists gather data, build models, and differentiate between positive and normative economic statements.
TL;DR:This topic demystifies the work of economists, moving beyond the stereotype of people who just predict the stock market. Students learn the vital distinction between positive economics (what is) and normative economics (what should be). This distinction is a cornerstone of the NCCA specification, as it helps students evaluate policy arguments and media reports critically. They also explore how economists use simplified models to understand a complex world.
About This Topic
This topic demystifies the work of economists, moving beyond the stereotype of people who just predict the stock market. Students learn the vital distinction between positive economics (what is) and normative economics (what should be). This distinction is a cornerstone of the NCCA specification, as it helps students evaluate policy arguments and media reports critically. They also explore how economists use simplified models to understand a complex world.
Understanding the limitations of data and the role of assumptions (ceteris paribus) is essential for 5th Years. They begin to see economics as a social science that uses rigorous methods to study human behavior. This topic benefits greatly from student-centered approaches where learners must categorize real-world statements and build their own simple models to explain school-based phenomena.
Key Questions
- What is the difference between positive and normative economics?
- How do economists use models to explain behaviour?
- What are the limitations of economic data?
Watch Out for These Misconceptions
Common MisconceptionEconomic models are useless because they are too simple.
What to Teach Instead
Models are simplified to highlight specific relationships. Using a 'map' analogy in a group discussion helps students see that a map is only useful because it leaves out unnecessary details like every single tree.
Common MisconceptionPositive statements are always true.
What to Teach Instead
A positive statement is one that can be tested or proven false, not necessarily one that is correct. Sorting exercises help students distinguish between 'testable' and 'opinion-based' claims.
Active Learning Ideas
See all activities→Stations Rotation
Positive vs. Normative
Set up stations with news clippings, tweets, and political speeches. Students rotate in groups to highlight positive statements in one color and normative statements in another, explaining their reasoning.
Inquiry Circle
Building a School Canteen Model
Students work in pairs to create a simple economic model predicting canteen queues based on one variable (e.g., price of chicken rolls). They must list their assumptions and discuss why the model might fail in reality.
Think-Pair-Share
The Bias in Data
Provide students with a graph showing a correlation (e.g., ice cream sales and shark attacks). They discuss in pairs why data can be misleading and why economists must be careful with 'post hoc' fallacies.
Frequently Asked Questions
What is the difference between positive and normative economics?
How can active learning help students understand economic modeling?
Why do economists use the term 'ceteris paribus'?
What are the limitations of economic data in Ireland?
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