It's About Supply and Demand
In this lesson, students watch an Instructional Television (ITV) video and participate in a simulation to learn about supply and demand and how those two forces affect price. The supply and demand simulation will also bring out the concept of self regulation. Students who want objects in high demand will have to decide if they are worth the price.
Grade Level:
Grades 9 to 12
Time Allotment:
Two 45 minute class periods
Subject Matter:
Law of Supply and Demand
Self Regulation
Needs and Wants
Linear Equations
Learning Objectives
Students will be able to:
- Explain the ideas of supply and demand.
- Use graphs and other tools to determine the impact of price on number of sales.
- Use the concept of self regulation in describing the difference between wants and needs.
Standards:
McREL Economics Standard 3: Understands the concept of prices and the interaction of supply and demand in a market economy
http://www.mcrel.org/compendium/Benchmark.asp?SubjectID=15&StandardID=3
1. Understands that the demand for a product will normally change (i.e., the demand curve will shift) if there is a change in consumers' incomes, tastes, and preferences, or a change in the prices of related (i.e., complementary or substitute) products
2. Understands that the supply of a product will normally change (i.e., the supply curve will shift) if there is a change in technology, in prices of inputs, or in the prices of other products that could be made and sold by producers
3. Understands that changes in supply or demand cause relative prices to change; in turn, buyers and sellers adjust their purchase and sales decisions
McREL Self-Regulation Standard and Benchmarks (3rd Ed.)
Standard 2: Performs self-appraisal
Level IV (Grade K-12)
http://www.mcrel.org/compendium/Benchmark.asp?SubjectID=23&StandardID=2
4. Performs analysis of employability
5. Understands career goals
6. Develops an inventory of wants versus needs
NCTM Algebra Standard, Grades 9-12
http://standards.nctm.org/document/chapter7/alg.htm
Represent and analyze mathematical situations and structures using algebraic symbols
Use symbolic algebra to represent and explain mathematical relationships.
- Use mathematical models to represent and understand quantitative relationships
Draw reasonable conclusions about a situation being modeled.
- Analyze change in various contexts
Approximate and interpret rates of change from graphical and numerical data.
This lesson was prepared by: Patrick Vennebush and Melissa Donohue
