Materials

• Chart of Economic Indicators (Attachment C)
• Overhead projector

Instructional Activities

1. Review the content from the previous session.
   
   
2. Explain that, just as the health of a person’s body is measured by temperature and other medical tests, several indicators measure the health of a country’s economy.
   
   
3. Post the following indicators of economic performance on the board or overhead and discuss each one with students, providing examples:
   • Gross Domestic Product (GDP) is the total dollar value of all final goods and services produced in a year.
   • Consumer price index measures the monthly price changes of sample consumer goods and services.
   • Unemployment rate is the percentage of the labor force without jobs.
   • Balance of trade is the difference in dollar value of imports and exports.
   • Stock market averages involve select groups of stocks whose performance is averaged, and over time the averages serve as an indicator of the market.
   
   
4. Display the following notes on the board or overhead transparency, and discuss each one.
   • Productivity is the amount of output per unit of input over a period of time.
   • Productivity and standard of living are generally higher in economies that have limited governmental planning and control of the economy.
   
   
5. Explain that students will be conducting computer research on economic indicators during the next class.