Ch. 10 Human Capital

Activity: Name Tents How to make a name tent. Take your piece of stock paper and fold it in thirds (inside itself) Run your fingers down the edges Unfold gently and make it stand like a triangle on its side Write your name on one side How to make a name tent.

Activity: Name Tents​ Group 1: Group 3: Group 2: standing only one hand (your nondominant hand) may only use your own body for leaverage may not assist one another Group 3: No rules Group 2:  remain seated   only one hand may not assist one another

Let’s Discuss! Which Group had a hard time making name tents? What difficulties did you encounter when making your name tents? Which groups finished quicker? Which group took the longest to finish? (staples)

What is Human Capital? Human Capital: the knowledge and skills that people obtain from education, job experience, and training. You can increase your human capital by:  going to school (education), gaining work experience (full or part-time job, volunteer work), and training (applying skills you’ve learned) When you go about increasing your human capital, you are investing in your human capital (firstgiving)

Connection to the Activity In the group activity, those who had fewer limitations when producing their name tent represented those with higher human capital. This tells us that people with more skills, education, and training tend to be more productive and thus earn a higher wage

What are examples of human capital that you currently possess? What skills do you have? from school courses_______________ ____________________________________ job experience___________________ volunteering _____________________  Sports____________________________ extracurriculars activities__________________________ _____________________________________     When employers want 10 years of experience before age 22!

What are your plans for after High School? What do you want to do in life?________________________ Training/Education needed ____________________________ (makeameme)

Once you get your dream job, how do you go about making sure you keep it? 30 Fastest Growing Jobs in 2018

The Labor Market and Labor Force The market of employers-looking for people to do work & employees-looking to get paid Labor Force: Made up of people age 16 and older who are: employed or/actively seeking employment Does not include: volunteers, homemakers, military, or prison inmates

Growth in the Labor Market Continued growth in the Labor Market More women larger % of minorities in workforce Americans are working longer One area that is not growing: Younger Americans Younger Americans are staying in school longer (money)

Manufacturing vs. Services Industries Manufacturing jobs are down in America. More focus on services industries: better technology More educated people (money)

4 General Skill Levels of Workers Unskilled: earn low hourly wage. janitors, busboys, seasonal farmworkers Semiskilled: paid hourly cashiers, construction workers, taxi drivers, fast food cooks Skilled: paid hourly police officers, factory workers, bank tellers Professional: salaried workers “white collar” jobs: doctors, teachers, lawyers, airline pilots Many factors influence wage: but skill level and demand for those skills are two biggest ones

Determining Wages Wages are determined by demand and supply Demand is determined by the employers who need workers Supply is determined by job seekers Immigration and leisure desires can influence the supply of jobs and wages wages tend to fall when the supply of labor or the demand for labor Equilibrium Wage: wage rate that occurs when amount of jobs available equals jobs desired. immigration provides workers willing to work for lower wages, when wages are low, people more inclined to not work and pursue leisure activities

Other Factors that Affect Wages Minimum Wage Laws: Wages set by local and federal governments affects the market by creating a surplus of workers in unskilled jobs. Working Conditions: High stress/more dangerous jobs earn more pay. Location and Cost of Living: Pay changes according to where you live and how much it costs to live there. Cost of Fringe Benefits: Health insurance and retirement can bring down wages. Foreign Competition: Competition for jobs outside the U.S. can bring wages down. Employers pay for your health insurance and retirement---increases costs which means lower pay

Wage Problems Faced by U.S. Wage discrimination Workers getting paid less for doing the same job as another Wage gaps - differences between groups in pay Women, minorities, adolescents and elders in the workforce Affirmative Action - hiring practices to try and end discrimination Makes companies give all groups equal chance at the job Labor Unions Created to get better conditions and wages for a group of people Allows a group to “collectively bargain” for better circumstances Not as popular as in the past b/c conditions are much better

Wages Activity---Paper Airplanes You will be making paper airplanes. You will get paid based on your productivity. This activity will have several rounds, with each round being 2 minutes long. Everyone will start off with $10,000. You will be paid a certain amount of “money” for every paper plane you make. The person with the most amount of money at the end of the game wins. Throughout the game you will be allowed to “increase your human capital”, but you will have to pay for it. However increasing your human capital means you can get paid more for each paper plane you make. It is up to you to decide what you want to do. But remember: The goal is to make the most amount of money.

Works Cited www.firstgiving.com/fundraiser/amanda-plaster-c3connect/casa-superhero-fun-runwalk https://makeameme.org/mymemes www.stalples.com https://homeguideexpert.com/deal-difficult-neighbours/ http://money.cnn.com/2009/05/14/real_estate/rising_minorities/ http://money.cnn.com/2016/03/29/news/economy/us-manufacturing-jobs/ https://www.youtube.com/bracketology http://www.bhs-business.com/btec.html