CP Economics

Unit 7: International Economics

SSEIN1 The student will explain why individuals, businesses, and governments trade goods and services.

a. Define and distinguish between absolute advantage and comparative advantage.

b. Explain that most trade takes place because of comparative advantage in the production of a good or service.

c. Explain the difference between balance of trade and balance of payments.

SSEIN2 The student will explain why countries sometimes erect trade barriers and sometimes advocate free trade.

a. Define trade barriers as tariffs, quotas, embargoes, standards, and subsidies.

b. Identify costs and benefits of trade barriers over time.

c. List specific examples of trade barriers.

d. List specific examples of trading blocks such as the EU, NAFTA, and ASEAN.

e. Evaluate arguments for and against free trade.

SSEIN3 The student will explain how changes in exchange rates can have an impact on the purchasing power of individuals in the United States and in other countries.

a. Define exchange rate as the price of one nation’s currency in terms of another nation’s currency.

b. Locate information on exchange rates.

c. Interpret exchange rate tables.

d. Explain why, when exchange rates change, some groups benefit and others lose.

Day 1:

EQ: Why do we trade?

  1. Warm Up: Why do we trade? Have students list out benefits of trade and discuss.
  2. Tell students that we are in a globalized and complicated economy and that understanding why we trade is essential in understanding our economy.
  3. Go to student list from warm up and use to segue into comparative and absolute advantage.
  4. Practice problems on comparative advantage.
  5. Closing: Socrative Exit Ticket

Day 2:

EQ: How do we measure trade?

  1. Warm Up: Pre-assessment questions on balance of trade/balance of payments.
  2. Examine US trade statistics and discuss. Use to begin interactive lecture on the following:
  3. Balance of Trade
  4. Balance of Payments
  5. Closing: Post-assessment questions on balance of trade/balance of payments. Use data to offer review Nearpod sessions for students who still struggle.

Day 3:

EQ: Why do some countries advocate free trade and some wish to establish trade barriers?

  1. Warm Up: Socrativepre-assessment questions on trade barriers.
  2. Explain to students that though we know that trade between countries improves efficiency and the variety and supply of goods available, some countries choose to limit trade. Why might they do this?
  3. Have students discuss and share ideas?
  4. How do countries limit trade? Have students list/discuss.
  5. Pass out Trade Barriers Case study. Make certain students have a definition of each of the major trade barriers. In pairs, students will analyze the impact of each trade barrier scenario.
  6. Go over trade barriers case study.
  7. Closing: SocrativePost-assessment questions on trade barriers. Data will be used to assign Nearpod remediation practice for those who need it.

Day 4:

EQ: Why do some people advocate for free trade and some wish to establish trade barriers?

  1. Warm Up: SocrativePre-Assessment questions on Trading Blocks
  2. Notes on trading blocks (NAFTA, EU, ASEAN)
  3. Introduce free trade Socratic Seminar requirements.
  4. Students will be required to read two articles and research for two more to prepare to discuss the pros and cons of joining a free trade organization. This will be done in light of current efforts of the US to join the Trans-Pacific Trade Agreement. Students will reflect on NAFTA, look at information about the TPTA, and come to their own conclusions about the benefit of free trade.
  5. Closing: SocrativePost-Assessment questions on trading blocks. Data will be used to provide Nearpod remediation for students who need extra assistance.

Day 5:

EQ: Why do some people advocate for free trade and some wish to establish trade barriers?

  1. Warm Up: Socrative Questions on Trading Blocks to assess for student understanding.
  2. Students will continue their data dig on the pros/cons of free trade. Students will use a graphic organizer to help them build their understanding and arguments.
  3. Closing: Remind students of the types of discussion that will be expected for the Socratic seminar.

Day 6:

EQ: Why do some countries advocate for free trade and some wish to establish trade barriers?

  1. Warm Up: Outline parameters of Socratic seminar.
  2. Student-led Socratic seminar on trade agreements.
  3. Closing: On Socrative, students respond to the following question: Do you support the US joining the Trans-Pacific Trade Agreement? Why or why not?

Day 7:

EQ: Why do some countries advocate for free trade and some wish to establish trade barriers?

  1. Warm Up: Socrative Review of key concepts to assess student needs.
  2. Based on Socrative data, place students into tiered groups to review the following information based on their scores.
  3. Comparative and Absolute Advantage
  4. Measuring Trade – Balance of Trade and Balance of Payments
  5. Trade Barriers
  6. Trading Blocks
  7. Arguments
  8. Closing: Socrative Poll – How well do you feel about the international content so far? Rate – 1-5

Day 8:

EQ: Why do some countries advocate for free trade and some wish to establish trade barriers?

  1. Warm Up: Students will conduct a brief vocabulary matching review on Smart Board.
  2. Quiz on the following concepts:
  3. Comparative and Absolute Advantage
  4. Measuring Trade – Balance of Trade and Balance of Payments
  5. Trade Barriers
  6. Trading Blocks
  7. Arguments
  8. Closing: Review quiz to clarify any uncertainties for students.

EQ: How is the US affected by the global nature of the economy?

  1. Warm Up: Socrative pre-assessment questions on exchange rates.
  2. Interactive lecture/discussion on exchange rates:
  3. What is an exchange rate?
  4. How are exchange rates determined?
  5. How do we read exchange rate tables?
  6. Students practice in pairs on reading and interpreting exchange rate tables.
  7. Go over assignment as a class and discuss.
  8. Closing: Socrative post-assessment.

Day 9:

EQ: How is the US affected by the global nature of the economy?

  1. Warm Up: Problem interpreting exchange rates.
  2. Exchange rate scavenger hunt. Tell students to select a set of 10 currencies. They will create an exchange rate table relating the currency back to the US dollar. Students will then analyze whether the currencies they selected are stronger or weaker than the dollar.
  3. Closing: Share a quality example with the class. Have students explain how we know if currencies are stronger/weaker.

Day 10:

EQ: How is the US affected by the global nature of the economy?

  1. Warm Up: Socrative Pre-Assessment Questions
  2. Tell students that we will focus on how an appreciating or depreciating dollar can affect Americans.
  3. Show SNL video clip; “The Down and Out Dollar”. Ask class, what is this suggesting about the dollar?
  4. Explain to students that SNL only got it partially right. A weak dollar is not necessarily a bad thing. Have students brainstorm how Americans could benefit if the dollar weakened. Discuss.
  5. Scenarios – What does it mean when the dollar is weak? Who is helped/hurt? What does it mean when the dollar is strong? Who is helped/hurt?
  6. Students practice in pairs determining how different parties are affected when the dollar appreciates or depreciates.
  7. Go over practice problems as a class.
  8. Closing: Socrative Post-Assessment Questions. Post assessment questions

Day 11:

EQ: How is the US affected by the global nature of the economy?

  1. Warm Up: Problem set on who is helped/hurt when the dollar appreciates/depreciates.
  2. Go over warm-up problem set to review concept with students.
  3. Tiered practice based on results of post-assessment from previous day.
  4. Tier 1 – Basic practice similar to previous day – draw generalizations from practice
  5. Tier 2 – Basic practice and one headline response (See Tier 3)
  6. Tier 3 – Headline response – Give students two headlines. For each headline students are to come up with three hypothetical individuals/groups who would be helped and hurt here in the US by the event.
  7. Headline 1: “US dollar depreciates as European investment rises.”
  8. Headline 2: “US dollar appreciates as Europeans seek to leave Euro.”
  9. Closing: Socrative poll on comfort with exchange rates (Rate themselves 1-5)

Day 12:

EQ: How is the US affected by the global nature of the economy?

  1. Warm Up: Foreign Exchange practice scenarios
  2. Quiz
  3. Closing: Review quiz to clarify questions students may have.

Day 13:

EQ: How is the US affected by the global nature of the economy?

  1. Warm Up: Study Guide Self-Assessment
  2. Kahoot! Review
  3. Closing: Allow students to ask any questions they may have remaining about key concepts.

Day 14:

Test Day

Day 15:

Corrections!