SS10.E.6

Social Studies (2010) Grade(s): 12 - Economics

SS10.E.6
Describe how specialization and voluntary exchange between buyers and sellers lead to mutually beneficial outcomes.

Unpacked Content

Knowledge

Students know:

The determinants of demand (demand shifters).
The determinants of supply (supply shifters).
The role of market prices and the impact of government-imposed prices.
The determinants of price elasticity.
The total revenue test to determine price elasticity of demand.
The components of the circular flow diagram and how they interact.

Skills

Students are able to:

Construct supply and demand curves.
Correctly shift supply and demand curves based on changes in their determinants.
Distinguish between shifts of the curves and movements along the curves.
Determine whether demand and supply are elastic or inelastic.
Determine the amounts of surpluses and shortages created by prices that are not at the equilibrium level.

Understanding

Students understand that:

There are ways in which the determinants impact market supply and demand.
Changes in supply and demand affect prices and equilibrium quantity.
There are differences between shifts of the curves caused by the determinants and movements along the curves caused by price changes.
Prices determine how resources are allocated.
Activities in markets, businesses and households impact each other.

Vocabulary

supply
demand
marginal utility
specialization
division of labor
equilibrium/market-clearing price
price elasticity
shortage
surplus
price floor
price ceiling

Aligned Learning Resources

The Silk Road and Ancient Trade/Crash Course World History

Supply and Demand: Crash Course Economics #4

Design by Adaptive Theme