1. 1 Make a new Table of Contents What will we learn today? What will we learn today? 12.2.5 Understand the process by which competition among buyers and sellers determines a market price. 12.2.6 Describe the effect of price controls on buyers and sellers. Unit: Prices Day 5 Directions: On Day 5 of your Bellwork, answer the following question. You need to write a one paragraph response, so fill out all of Day 5. There should be little to no talking during the Bellwork. A black market is a market in which goods are sold illegally. Tell me about a time you encountered a black market. What was for sale? Did you buy anything? (Keep it appropriate)

2. Jigsaw Posters “6.3 The Role of Prices” 2 Get back in your groups and finish your posters. It’s been a few days since you worked on these so re-read what you wrote and refresh your memory.

3. 6.3 The Role of Prices Jigsaw You will be working with your group to create a poster about the contents of 6.3 The Role of Prices Your final poster will contain information about all of 6.3, but for now you will each be assigned a different learning task. For the next 30 minutes, you will work quietly to get notes about your specific section. Then you will teach each other what you’ve learned, and create one group poster. You should know your poster info well enough to present it and pass a quiz on it. 3

4. Assignment 3: 6.3 The Role of Prices Notes 4

5. Jigsaw A Why are prices a good thing in a free market? Is a centrally planned economy a good alternative to market? What do prices help do? Explain the example of Kevin and the sweaters 5

6. What would we have to do without prices? What do prices communicate? Explain the traffic light analogy. Explain supply shock What are the options when there is a supply shock? What is rationing? What is the quickest and easiest way to solve excess demand? 6 Jigsaw B

7. What did life look like in the Soviet Union? (choices of goods, “Supermarket No. 3”). What did people in the Soviet Union have to wait hours for? When did the US have rationing? What was it like? What is a black market? What is an example? How do people earn the largest returns? 7

8. Explain the scenario described for a hot summer. How do landowners, workers, and capital act in a market economy? What book did Adam Smith write? Why did he argue that the butcher sold meat? What are the three problems a market can create? What happens when only one producer sells a good? What are spillover costs? What is an example? What does it say about a buyer and informed decisions? 8

9. Assignment 4: Chapter 6 Phocabulary Spillover costs (pg. 144) Black market (pg. 142) Rationing (pg. 141) Supply shock (pg. 141) Search costs (pg. 136) Minimum wage (pg. 130) Rent control (pg. 129) Excess supply (pg. 128) Excess demand (pg. 126) Equilibrium point (pg. 125) 9 Word and definition on the left. Picture on the right.

10. Assignment 5: Car Shopping 10 YearModelMakeColorMileageCost Used/ New? Website Example 2001FordMustangBlack59,000 mi$9900UsedAutotrader.com #1 #2 #3 Shopping For a Car Visit a few websites (autotrader.com, cars.com, carmax.com, etc.) to find the car of your dreams reality. You can pick one car under $10,000, one car under $20,000, and one car under $30,000. You need to pick three different cars and you need to actually sit down and look up the information. If you don't have a computer, just stop by my room.