2. GCSE Business Studies The impact of business cycle Beauchamps High School

3. Will be able to evaluate the impact of the business cycle on a business Evaluation ~ GCSE Grade A* Will be able to propose reasons for recessions Synthesis ~ GCSE Grade A Will be able to analyse what may cause a boom in the business cycle Analysis ~ GCSE Grade B Will be able to demonstrate understanding by using examples/cases Application ~ GCSE Grade C Will be able to explain the difference between an expanding and shrinking economy Comprehension ~ GCSE Grade D Will be able to recall key terms economy and business cycle Knowledge ~ GCSE Grade E

4. The Economy Beauchamps High School

5. Economic Activity Beauchamps High School Theory Notes The amount of buying and selling that takes place in a period of time

6. The Economy Beauchamps High School Theory Notes The economic activity carried out by people and businesses in a country

7. Expanding Economy  When people feel confident about their jobs and incomes, they make decisions to spend more money  When this happens we say: “The economy is expanding” Beauchamps High School Theory Notes

8. Shrinking Economy  When people feel less confident about their jobs, incomes and the future, then spending will reduce.  When this happens we say: “The economy is shrinking” Beauchamps High School Theory Notes

9.  http://news.bbc.co.uk/1/hi/england/8178572.stm http://news.bbc.co.uk/1/hi/england/8178572.stm Beauchamps High School

10. Business Cycle Beauchamps High School Theory Notes Fluctuations in the level of economic activity over a period of time

11. Business Cycle  Some years there is a strong increase in the level of economic activity.  This is called a period of “boom”  People are confident about job security, receive pay increases each year  Consumers are confident with decision to make large purchases e.g. cars Beauchamps High School Theory Notes

12. Business Cycle  Strong economic growth does not last forever. Sometimes economic growth begins to “slowdown”.  People are less confident about job security, could be made redundant  Consumers are less confident with decision to make large purchases e.g. cars Beauchamps High School Theory Notes

13. Business Cycle  The “Slowdown” may be so bad that amount of goods produced in one period can be less than a previous period.  In this case the growth will be negative  If growth is negative for 2 successive quarters, this is called recession Beauchamps High School Theory Notes

14. Business Cycle Beauchamps High School Theory Notes

15. HWK  Create a graph which illustrates the economic cycle (booms/slumps/recession) over last 20 years Beauchamps High School

16. Against the Clock

17. Watch this video  What are the impacts on Small Businesses of the economy? Make a note of those affected by recession.  www.bbc.co.uk/schools/gcsebitesize/business/envir onment/stateofeconomyvid.shtml Beauchamps High School

18. Task Beauchamps High School

19.  Practice Question  p203 Beauchamps High School

20.  www.businessstudiesonline.co.uk/GcseBusiness/Activitie s/Module6/Economic/BusinessCycleDragDrop/frame.htm www.businessstudiesonline.co.uk/GcseBusiness/Activitie s/Module6/Economic/BusinessCycleDragDrop/frame.htm Beauchamps High School

21. Plenary

22. The Chase rules  One student selected to answer a question from lollipop sticks  If a student is unable to answer a question they can select someone else to answer “The Chaser”  Can you beat the chaser and get the high grade!

23. Recall the key terms economy and business cycle Explain the difference between an expanding and shrinking economy Demonstrate understanding by using examples/cases Analyse what may cause a boom in the business cycle Propose reasons for recessions Evaluate the impact of the business cycle on a business Can you…..

24. Will be able to evaluate the impact of the business cycle on a business Evaluation ~ GCSE Grade A* Will be able to propose reasons for recessions Synthesis ~ GCSE Grade A Will be able to analyse what may cause a boom in the business cycle Analysis ~ GCSE Grade B Will be able to demonstrate understanding by using examples/cases Application ~ GCSE Grade C Will be able to explain the difference between an expanding and shrinking economy Comprehension ~ GCSE Grade D Will be able to recall key terms economy and business cycle Knowledge ~ GCSE Grade E