General Information

Title: The Production and Distribution of Goods and Services in the U.S. Economy

Subject Area: Social Studies/Economics

SOL 7.7 - Virginia Standards of Learning

The students will describe the role of the governments in the United States economy, with emphasis on:

• provision of public goods and services;
• protection of consumer rights, contracts, and property rights;
• the impact of government taxation, borrowing, and spending on individuals and on the production and distribution of goods and services; and
• the role of the Federal Reserve System and the impact of monetary policy on the money supply and interest rates.

SOL 7.10 - Virginia Standards of Learning

The student will interpret maps, tables, diagrams, charts, political cartoons and basic indicators of economic performance ( gross domestic product, consumer price index, productivity, index of leading economic indicators, etc.) for understanding of economic and political issues.

Grade Level: 8

Lesson Topic: The Production and Distribution of Goods and Services in the U.S. Economy

Descriptive Overview: In the American economic system, the market and the federal, state, and local governments share in the important role of production of goods and services. This system is called a mixed market economy, or more simply stated, a mixed economy. And, in the American mixed economy, any level of government may influence the market. They do this primarily as a matter of consumer protection. This lesson will present a broad view of the circular flow of the U. S. economy.

Advantages of Medium: A simple but effective way to understand a difficult concept.

Lesson Specifics

Lesson Objectives/Goals: The student will:

• identify the components of U. S. economic activity;
• explain about factors of production;
• discuss and demonstrate the various components of the Want-Satisfaction Chain.

Assumed Skills or Prerequisite Skills:

• the student must understand basic flowcharting
• the student must be able to identify factors of production

Learning Environment: Standard classroom with a computer for the PowerPoint Presentation.

Instructional Set

Using a systematic approach, the student will determine the factors of sneaker production and incorporate it into the Want-Satisfaction Chain.

Gaining Attention: Not applicable

Orienting the Lesson: Not applicable

Stimulating Recall of Prerequisites: Not applicable

Key Questions:

1. What impact does government taxation, borrowing, and spending have on the production and distribution cycle?
2. What impact does the disruption of any portion of the production/distribution cycle have on the U. S. economy?

Teaching Strategies

1. Introduce students to the determination of labor, land, and capital through to the goods and services being available for consumption.
2. In small groups, the students will brainstorm the three factor groups necessary for Sneaker Production.
3. Review the Want-Satisfaction Chain. Then, in the same groups, discuss and integrate the Sneaker Production factors into each phase of the W/S Chain.

Terminology/Vocabulary:

Factors of Production
Want-Satisfaction Chain

Practice: Students will practice their teamwork and organizational skills.

Assessment:

• Students will answer the "Key Questions" as they apply to the factors of production and the want-satisfaction chain.
• Groups will present their W/S Chains to the class.

Enhancements

Invite a business executive to describe and discuss the factors of production of their local business.

Extensions

Not applicable