Explain the role of government in a market economy in the allocation of resources.
List and explain the basic functions of government in a market economy.
Identify categories of goods and services provided by various levels of
government.
Explain how government responds to positive and negative externalities
in the economy.
Describe major expense and income categories and their respective
proportions of state and federal budgets.
Define progressive, proportional, and regressive taxation.
Describe different types of taxes including income, sales, property, and
social security, and determine whether they are progressive, proportional,
or regressive.
Describe recent trends in the federal budget deficit and the national debt.
Identify possible future effects of the national debt on the individual and the
economy.
Appraise recent trends in state and federal spending and taxation, and
analyze the cause of recent federal budget deficits.
Sample Student Activities/Projects:
List goods and services produced by government in the local community.
Identify which of these could be produced by the private sector.
Create graphs identifying major income and expense categories of federal
and state governments.
Interview people and have them estimate the current budget deficit and
the national debt. Compile, graph, and analyze responses.
Participate in a debate. Topic: Which is more important in our economy
- government or business?
Interview local business owners and determine how the government is
involved with these businesses. (e.g., workplace safety, environmental regulations).
Write a short essay summarizing the methods used by government to reduce
the harmful effects of pollution. Discuss or debate whether zero pollution is a
wise or unwise policy.
