Price and Quantity Controls

In class students learned that the government sometimes steps in and uses price or quantity controls to appease one portion of the population.  There are two types of price controls: (1) Price Ceilings (ex. rent controls) and (2) Price Floors (ex. minimum wage).  However, problems do arise from implementing these policies.  There is one type of quantity control, or quota, that is used creating a deadweight loss for both producers and consumers.

The homework is listed below and the classwork is attached as are the class notes. 

CW - Practice Quiz

Notes - Price and Quantity Controls

HW - Finish Quiz Review
          Read Modules 46, 47, 48

Supply and Demand Curve

In class students were introduced to the Supply and Demand Curve.  Any movements along either curve are due to changes in price.  While, shifts in the Demand curve are due to SEPTIC and shifts in the supply curve are due to changes in TIES.

The homework is listed below and the notes are attached.

Notes - Supply and Demand Curve

CW - Section 2 - Supply and Demand

HW - Read Modules 8 and 9

Gains from Trade

In class students reviewed the production possibilities curve (frontier).  Afterwards we looked at the benefits of specialization and trade.  Students learned about absolute and comparative advantages and made trade decisions based on opportunity costs.

The homework is listed below and the notes and handout are attached.

Notes - Gains from Trade

CW - Fundamentals of Economic Analysis

HW - Read Modules 5, 6, 7 in Textbook

Intro to Microeconomics and the Productions Possibilities Curve

In class students were introduced to the study of economics and specifically microeconomics-which is the study of how individuals, households and firms make decisions.

Afterwards, students were introduced to the first economic model of the course-the production possibilities curve or frontier. 

The homework is listed below and the notes are attached.

Notes - Intro to Micro and the PPC

HW - Read Modules 1, 3, and 4


I have also attached the Syllabus and the AP Contract below.  Please return the two forms ASAP!
Syllabus

AP Contract

Putting it all together - Final Class!!!

In class students took their final quiz on Modules 6 and 7.  Afterwards, we looked at a part two question that incorporates a number of models to answer a number of questions about the economy.

The AP is May 14.  I will be sending out emails in late April that list the dates for review and what materials/resources that should be purchased by that date.

I enjoyed working with all of you and hope you learned a thing or two.

Exhange Rate Regimes

In class students reviewed the Foreign Exchange Market which determines the exchange rate.  Afterwards, students were introduced to the two type of foreign exchange regimes:  (1) Floating Exchange Rate and (2) Fixed Exchange Rate.  During class we discussed how and why a country would want to fix its exchange rate against another currency versus why a country would choose a floating exchange rate regime.

The notes are attached and the homework is listed below.

Notes - Exchange Rate Regimes

HW - Section 6 and 7
         Read Module 45
         *Quiz on Section 6/7 next class
         **Make-up work by Thursday 1/15

Foreign Exchange Market

In class we talked about capital flows and how real interest rates affect the international flow of money (side by side loanable funds models). 

Afterwards, we talked about how currencies are priced in the foreign exchange market. A currency appreciates when the value of a currency is worth more relative to another currency.  A currency depreciates when the value of a currency is worth less relative to another currency.

*When a countries currency appreciates, exports fall and imports increase (foreign goods cheaper)*

*When a countries currency depreciates, exports increase and imports fall (foreign goods expensive)*

Lastly, we discussed the real exchange rate which uses the exchange rate and takes into the price index (CPI, GDP deflator)

The notes are attached below and the homework is listed.

Notes - Capital Flows

HW - Read Modules 43 and 44
          Complete Section 5 Review (attached to last post)
     

**Make up any quizzes ASAP**