1. Bellringer 1.If India charges 20% more for U.S. corn, what is this an example of? 2.If the U.S. decides not to allow U.S. companies to sell to North Korea, what is this an example of? 3.If Japan only allows 10,000 Ford vehicles to be sold in their country, what is this an example of?

2. Economic growth and Literacy rate

3. Enduring Understanding Production, Distribution, and Consumption The student will understand that the production, distribution, and consumption of goods/services produced by the society are affected by the location, customs, beliefs, and laws of the society.

4. Georgia Performance Standards SS7E10 The student will describe factors that influence economic growth and examine their presence or absence in India, China, and Japan. a. Explain the relationship between investment in human capital (education and training and gross domestic product (GDP). b. Explain the relationship between investment in capital (factories, machinery, and technology) and gross domestic product. c. Describe the role of natural resources in a country’s economy. d. Describe the role of entrepreneurship. SS7G12c. Evaluate how the literacy rate affects standard of living.

5. Quick Review-Give me the definitions of these wordsbook Human Capital Capital goods Natural Resources Entrepreneurs Literacy Rate Standard of living

6. Quick Review-Give me the definitions of these wordsbook Human Capital—education and training workers have Capital goods—factories, machinery, and technology used to make goods and services Natural Resources—materials found in nature that can be used to make goods and services Entrepreneurs—someone who combines ideas and resources and takes a risk to begin a new business Literacy Rate—percentage of people in a country who can read and write Standard of living—how well people in a country live (i.e., do they have running water, electricity, internet, computers, cell phones, etc.)

7. Gross Domestic Product (GDP) The total value of goods and services produced in a country in one year Wealthy countries have a higher per capita GDP than developing or underdeveloped countries Per Capita GDP—the amount of goods and services produced compared to the number of people in the country http://real.doe.k12.ga.us/vod/gso/social- studies/Video-Dictionary/GDP-Gross-Domestic- Product.wmvhttp://real.doe.k12.ga.us/vod/gso/social- studies/Video-Dictionary/GDP-Gross-Domestic- Product.wmv

8. How does investment in Human Capital affect GDP? If a country invests in schools and training, they will have more skilled workers to produce better goods, leading to a higher GDP. Japan has always made education important which has enabled them to produce superior goods that are in demand around the world China has improved its education system to train future workers. India has been slower to invest in human capital, but over the last 20 years has increased spending on schools and universities for boys and girls.

9. How does investment in capital goods affect GDP? Investing in factories, technology, and machinery will lead to higher GDP because goods can be made better and quicker. In India, the government has not invested as much in capital goods and this is slowing their economic growth. China and Japan, however, has made investments in manufacturing equipment, roads, and the newest technology, which has helped make them the top economies in the world.

10. Natural Resources Distribution of natural resources helps determine the type of work people do It also helps determine what products a country might specialize in making –China and India have many natural resources that provide for their industries and help their economy grow –Japan has few natural resources, so they must imports raw materials in order to produce goods. This is why they emphasize education and capital investment.

11. How do Entrepreneurs help an economy? They make a country competitive in the world economy through new and innovative ideas Best Example-Apple Countries like China and India encourage entrepreneurs because their governments give them money, training, and facilities. Surprisingly, many Japanese see entrepreneurs as too risky. The government has not made creating new businesses as easy as India and China, but that is starting to change.

12. How does literacy rate affect standard of living? High literacy rate=High standard of living Low literacy rate=low standard of living Countries with high literacy rates means there are more educated people who can help the economy grow China 92% India 61% Japan 99% Which country do you think has the highest standard of living?