JC 1 Economics

Understanding the nature of the economic problem and why resources are always limited relative to wants.

Examining the necessity of trade-offs in decision making and quantifying the cost of the next best alternative.

Understanding how individuals make choices about spending, saving, and working based on their needs, wants, and limited resources.

Exploring the concept of trade-offs in everyday decisions and how societies allocate their limited resources among competing uses.

Identifying the key factors (land, labor, capital, enterprise) that contribute to a country's ability to produce goods and services.

Comparing how different economic systems (market, command, mixed) address the fundamental economic questions.

Examining the law of demand, demand curves, and the determinants that shift the demand curve.

Understanding the law of supply, supply curves, and the factors that shift the supply curve.

Analyzing how demand and supply interact to determine equilibrium price and quantity, and the process of market adjustment.

Investigating the effects of shifts in demand and supply on equilibrium price and quantity.

Understanding that consumers respond differently to price changes for various goods and services, and the reasons why.

Exploring how changes in consumer income and the prices of related goods (substitutes and complements) influence demand.

Understanding that producers respond differently to price changes for various goods and services, and the reasons why.

Applying the understanding of consumer and producer responsiveness to analyze simple real-world market situations.

Exploring how governments can sometimes set limits on prices (e.g., for essential goods) or minimum wages, and the potential effects.

Understanding how governments use taxes to raise revenue and discourage certain activities, and subsidies to encourage others.

Introducing the idea that sometimes free markets don't lead to the best outcomes for society, and why.

Exploring how some economic activities create costs for third parties (e.g., pollution from factories, noise from construction) and how these are addressed.

Exploring how some economic activities create benefits for third parties (e.g., vaccinations, education) and how these can be encouraged.

Understanding goods that everyone can use without preventing others, and why the government often provides them (e.g., street lights, national defense).

Discussing situations where one party in a transaction has more or better information than the other, leading to potential problems.

Exploring goods that society generally wants more of (merit goods like education) or less of (demerit goods like cigarettes) due to imperfect information or societal values.

Understanding how large companies can sometimes dominate markets, and why competition is generally good for consumers.

Investigating the causes and consequences of income inequality and poverty, and measures to address them.

Discussing that even government actions, while well-intentioned, can sometimes have unintended consequences or not fully solve economic problems.

Differentiating between microeconomics and macroeconomics and understanding key macroeconomic objectives.

Understanding the concept of Gross Domestic Product (GDP) as a measure of the total value of goods and services produced in a country.

Understanding that when comparing economic output over different years, we need to account for changes in prices (inflation) to get a true picture of growth.

Defining inflation as a general increase in prices over time and exploring its common causes in simple terms.

Examining the economic and social costs of inflation and deflation on different groups in society.

Defining unemployment and exploring different reasons why people might be out of work (e.g., changing jobs, new technology, economic slowdowns).

Examining the economic and social costs of unemployment for individuals and the economy as a whole.

Introducing a simple model of how money, goods, and services flow between households and businesses in an economy.

Expanding the simple money flow model to include the role of government (taxes, spending) and international trade (imports, exports).

Understanding the main components of total spending in an economy: household spending, business investment, government spending, and net exports.

Exploring the factors that influence how much households spend and how much businesses invest in new equipment and facilities.

Understanding how government spending decisions and a country's trade with other nations contribute to overall economic activity.

Understanding the factors that determine how much a country can produce, such as its resources, technology, and workforce.

Exploring how changes in resource availability, technology, and government policies can influence a nation's total output of goods and services.

Understanding that an economy is in balance when the total amount of goods and services produced matches the total amount demanded by consumers, businesses, and government.

Introducing the concept of economic cycles, including periods of growth (expansions) and slowdowns (recessions), and their general characteristics.

Developing personal budgets, understanding income and expenses, and setting financial goals.

Analyzing the trade-offs between current and future consumption and the power of compound interest.

Exploring various investment options such as stocks, bonds, mutual funds, and real estate.

Understanding the relationship between risk and return in financial investments and the benefits of diversification.

Understanding the role of credit, managing debt responsibly, and the implications of borrowing.

Exploring different types of insurance and their role in protecting against financial risks.

Introduction to different types of taxes (income, consumption) and their effects on personal finance.

Understanding consumer protection laws and the importance of informed decision-making.