1. Welcome C&E Students! Grab your handouts and settle in Roll Call Question: What would you rather have as a pet; a mini horse, a pygmy goat or a teacup pig?

2. Prepare for your quiz 7.3 – Unions 7.4 – Money 7.5 - Business Cycle & Fiscal and Monetary Policy Complete the Fiscal/Monetary Policy Handout

3. SHHH! Quiz in Progress All you need is a pencil Have a question? Ask a question!

4. Mental Floss Objective 7.6 - Analyze costs and benefits of global trade Vocab Globalization Comparative Advantage Global interdependence Balance of trade Trade surplus Deficit Quota Tariff Subsidies protectionism Free trade WTO EU NAFTA World Bank IMF Questions 1. How can we identify the 4 phases of the business cycle? 2. What were the main causes of the Great Depression? 3. What is the difference between fiscal and monetary policy?

5. Inside the Fed We will be watching a film on the Federal Reserve You will complete a 3-2-1 for this activity 3 things you learned 2 questions you still have questions about 1 interesting fact from the film https://www.youtube.com/watch?v=I2m3 t2Yr8Vg https://www.youtube.com/watch?v=I2m3 t2Yr8Vg

6. Warm Up http://www.youtube.com/watch?v=5SnR- e0S6Ic http://www.youtube.com/watch?v=5SnR- e0S6Ic

7. Economics 7.6 International Economics Analyze costs and benefits of global trade

8. What is Globalization? People, countries and governments exchanging ideas, products and world views across barriers of distance, culture and technology

9. I. Why nations Trade A.Comparative advantage 1.Nations try to produce goods at a lower cost or more efficiently than others 2.Nations specialize on the goods that they produce the best, trade to get other goods

10. B.Global interdependence 1.In our globalized economy, every nation is dependent on the rest 2.helps increase production among all

11. II. Balance of Trade A.Balance of Trade- relationship b/w a nation’s imports and exports that affects its currency B.Trade Surplus- more exports than imports, leads to a strong currency

12. C.Trade deficit- more imports than exports, leads to a weak currency D.US can maintain a high deficit because there is a large demand for US dollars as the int’l currency

13. III. Trade Barriers A.quota- strict limit on imported goods B.tariff- tax on imported goods C.subsidies- US gov’t supporting a US industry financially

14. D.Protectionism- 1.creating trade barriers to foreign trade in order to make a nation’s goods more competitive 2.Protectionism may restrict competition, hurt innovation, and lead to trade wars

15. IV. Free Trade A.The goal of free trade agreements are to eliminate trade barriers B.Advantages- competition, growth among all, int’l specialization

16. C.Disadvantages- economic vulnerability, jobs can be outsourced (sent to an external provider) D.World Trade Organization (WTO)- negotiates new trade agreements and works to expand world trade

17. E.European Union (EU)- European nations have eliminated trade barriers and created a common currency F.North American Free Trade Agreement (NAFTA)- goal to eliminate barriers b/w Mexico, Canada, and US

18. V. Developing Nations A.Developing nations have low per capita GDP, poor health, infrastructure, etc B.Free trade has helped developing nations out of poverty more than economic aid

20. C.World Bank- lends to developing nations to reduce poverty D.International Monetary Fund (IMF)- seeks to stabilize exchange rates and encourage good economic policy

21. Global Trade Matching See how much you learned from 7.6

22. FYI Notebook check will happen this week Review your 7.5-7.6 notes tonight Feel free to make a note card with any information from these two sections to use on whatever may be coming tomorrow

23. Drop Dead Date All missing work (besides the review packet) is due by Tuesday of next week. I will not accept any work past that date.

24. Review 1.How do nation’s seek to gain a comparative advantage? 2.How can a country respond if its currency depreciates (lowers in value)? 3.What are some consequences of protectionism?

25. Global Trade Activity: Number of Students World Bank-2 USA- 2 Japan- 2 India- 5 Brazil- 5 Tanzania- 3 Mozambique- 3

26. Deposits must be in groups of 5 products Individual products: ½ price Inferior goods: ½ price Colored paper: double price Deposits: 10% interest Loans: 50% interest

27. Welcome C&E Students! Find your seat and settle in Roll Call Question: would you rather be a rock star or a movie star? Bell Work: – How is Monetary Policy different from Fiscal Policy? – Why would the Fed want to use tight or loose money policy? – How is a trade surplus different from a trade deficit?

28. Bell Work Answers Monetary Policy – actions taken by the Federal Reserve Fiscal Policy – actions taken by the federal government (President or Congress) Tight-Money Policy – want less money in the economy Loose-Money Policy – want more money in economy Trade Surplus – exporting more than you import Trade Deficit – importing more than you export

29. Reminders Unit 7 Test is this Wednesday (12/17/2014) – Study Guide is optional. If done receive 2 extra points on your Unit 7 Test – Quizzes are still due Extra Credit is also due this Wednesday Recovery!!!! Every Monday, Tuesday and Thursday Turn in all late work this week!!!

30. Warm Up – Crossword See how much you need to prepare for the Unit 7 test Try first without your notes – feel free to work with a partner When the bell rings you may take out your notes