The Humanities - Economics

	Level 4	Level 5	Level 6
Standards
Learning focus

Learning focus

As students work towards the achievement of Level 4 standards in Economics, they learn about the nature of the economic problem (scarcity): that is, that our needs and wants are unlimited but the resources available to satisfy these wants are limited. They explore how the community defines, classifies and uses resources. They learn about the processes of consumption, production and distribution in meeting needs and wants, and the role of consumers, workers and producers in the economy. They consider factors affecting their spending and why it is important to be an informed consumer when making spending decisions. They investigate the importance of personal money management and the role of banking, budgeting and saving.

Students consider the nature and meaning of work and its relationship to other activities in people's lives, including leisure. They examine various types of work and enterprise in a range of settings, including home, school and the community, and identify the different natures of paid and unpaid work.

Students use the inquiry process to plan investigations about economic issues in the home (for example, which mobile phone or pair of runners to buy), school (for example, which bus company to hire for an excursion) or local community (for example, whether a small factory or residential townhouses should be built on a vacant lot next to the school) and form conclusions supported by evidence.

Students practise contesting ideas, debating and using evidence to form and express opinions on economic issues that interest and/or have an impact on themselves and on society, particularly their local community.

They expand their economic vocabulary to include such terms as consumption, production, distribution, enterprise and identify, and learn to collect and process data from a range of sources, including electronic media.

Standards

Economic knowledge and understanding

At Level 4, students describe the nature of the economic problem (scarcity) and explain how selected goods and services are produced and distributed. Students describe the difference between needs and wants, and their own roles as producers and consumers of goods and services. They explain the need to be an informed consumer. They explain the role of work in society and distinguish between paid and unpaid work. They compare different types of work and enterprise in the local community. Students demonstrate basic understanding of personal money management and the role of banking, budgeting and saving.

Economic reasoning and interpretation

At Level 4, students use the inquiry process to plan economics investigations about economic issues in the home, school or local community and form conclusions supported by evidence.

Learning focus

As students work towards the achievement of Level 5 standards in Economics, they develop an understanding of the nature of scarcity, opportunity cost and resource allocation, and how these influence the Australian economy.

They consider the use, ownership and management of resources in personal, business and community contexts, and participate in activities in which they begin to appreciate that economic choices involve trade-offs that have both immediate and future consequences. They learn that a market, consisting of buyers and sellers, is one method of allocating resources. Students begin to identify markets in which they participate, and how the interaction of buyers and sellers influences prices. They explore how access to resources is a significant factor in determining income levels and appreciate that people's incomes, in part, reflect choices they have made about education, work, careers and skill development.

Students develop personal financial literacy skills and an understanding of the importance of being an informed consumer. They practise making informed consumer decisions. They consider the nature of current and future work opportunities and factors that influence such opportunities. They learn about the nature of business and business ownership, and begin to gain an understanding of concepts such as risk-taking, competition, and supply and demand.

Students learn about the role of government in influencing economic activity and managing the economy.

Students use the inquiry process to plan economic investigations, analyse and interpret data, and form conclusions supported by evidence. For example, students investigate the way resources are allocated in various markets such as the housing market, the Australian Football League players’ market, the local community market and the chocolate market. They begin to form and express opinions on economic issues that interest and/or impact on them personally, or locally and nationally.

Standards

Economic knowledge and understanding

At Level 5, students explain the nature of the economic problem and how economic choices involve trade-offs that have both immediate and future consequences. They explain key factors that influence the Australian economy, including the quantity and quality of factors involved in production, resource use, ownership and management, and types of businesses. Students make informed economic and consumer decisions, demonstrating the development of personal financial literacy. They describe factors that affect choice of employment and opportunities for current and future work, and explain the relationship between education, training and work opportunities. Students identify and describe ways the government influences economic outcomes at the personal, local and national level.

Economic reasoning and interpretation

At Level 5, students use the inquiry process to plan economics investigations, analyse and interpret data, and form conclusions supported by evidence. They form and express opinions on economic issues that interest and/or impact on them personally, or locally and/or nationally.

Learning focus

As students work towards the achievement of Level 6 standards in Economics, they develop their understanding of how the Australian economy is managed, particularly within the international economic context. They analyse how macroeconomic and microeconomic policies and programs advanced by governments and other institutions affect them and their fellow citizens. They examine the role of exchange, trade and globalisation in influencing Australia’s standard of living. They develop an understanding of enterprise attributes and skills, and describe the impact of innovation and enterprise on the economy and society.

Students investigate the relationship between economic growth, ecological sustainability and the standard of living, and explore what it means to be an ethical producer and consumer. They begin to reflect on the role of values in the economic decision making of producers, consumers and governments.

They develop skills in using economic reasoning, including cost-benefit analysis, to research economic issues and propose solutions for economic problems of global significance. They research economic problems and argue the validity or otherwise of their own hypotheses. Economic problems could include examples such as why the price of a can of soft drink varies depending on where it is sold; whether welfare is a right or a privilege; and whether tolls should be charged on new freeways. Such research assists students in understanding, clarifying and justifying values and attitudes about issues affecting the economy, society and the environment.

Students extend their personal financial literacy skills and understanding about the role of savings and investment. They examine vocational pathways and education and training requirements, considering possible work and career options. They develop skills and strategies for transition to employment and further education and training, including job seeking, job application and interview skills.

Standards

Economic knowledge and understanding

At Level 6, students describe how markets, government policies, enterprise and innovation affect the economy, society and environment in terms of employment, economic growth, the use of resources, exports and imports, and ecological sustainability.

They analyse how goods and services are produced and how markets work. They predict how prices will change when there is either a surplus or shortage, and explain how this might influence the behaviour of consumers and producers. They analyse the role and significance of exchange, trade and globalisation in influencing Australia’s standard of living. They discuss and explain what it means to be an ethical consumer and producer and identify examples of ways values can affect the economic decision making of consumers, producers and governments.

Students analyse the role that governments and other institutions such as banks, the Australian Council of Trade Unions (ACTU) play in the economy, and evaluate their performance in achieving appropriate economic outcomes for individuals and for society. They explain the role and significance of savings and investment for individuals and for the economy, and demonstrate the skills required to successfully plan and manage personal finances.

Students predict the economic consequences of proposed government policies and make informed choices among alternative public policy proposals. Students explain the impact of macroeconomic and microeconomic policies on themselves and others, including businesses.

Students analyse vocational pathways and education and training requirements and identify possible career paths and opportunities. They demonstrate skills required for moving from school to employment or further education.

Economic reasoning and interpretation

At Level 6, students use economic reasoning, including cost-benefit analysis, to research and propose solutions to economic issues and problems of global significance, and to clarify and justify values and attitudes. They plan and conduct investigations in order to research an economic problem and/or argue the validity or otherwise of their own hypotheses. They use relevant economic concepts and relationships to evaluate economic propositions, proposals and policies, and debate the costs and benefits of contentious economics-related issues of local, national or international concern.

Students interpret reports about current economic conditions, both national and global, and explain how these conditions can influence decisions made by consumers, producers and government policymakers. Students demonstrate an awareness of the impact of values and beliefs on economic issues, and how differences may be identified, negotiated, explained and possibly resolved.