Announcements:

1: Industrial Revolution: POLITICAL

You need:

1: Adam Smith on Self-Interest (CLASS SET)

2: 30-Second-Expert (Your own)

Bell Ringer: February 8(9), 2017

1. Which describes a major political effect of the Industrial Revolution on Europe?

a. The growth of power of kings and queens

b. An increase in nomadic herding

c. An increase in urban population

d. A number of municipal reforms aimed at improving quality of life

Housekeeping:

•Pass back papers

Announcements/Materials

Announcements

• Industrial Revolution Political DOL/map quiz due if you were absent yesterday

• Test coming up next week! Study the PowerPoints and the DOLs on the Weebly

Materials

• Spiral/paper

• Adam Smith on Self-Interest (CLASS SET)

• 30-Second-Expert (Your own)

Announcements:

1: Industrial Revolution: POLITICAL

You need:

1: Adam Smith on Self-Interest (CLASS SET)

2: 30-Second-Expert (Your own)

Bell Ringer: February 8(9), 2017

1. Which describes a major political effect of the Industrial Revolution on Europe?

a. The growth of power of kings and queens

b. An increase in nomadic herding

c. An increase in urban population

d. A number of municipal reforms aimed at improving quality of life

Lesson Objective

• Identify the historical origins and characteristics of the free enterprise system, including the contributions of Adam Smith, especially the influence of his ideas found in The Wealth of Nations

Lesson Objective

• Identify the historical origins and characteristics of the free enterprise system, including the contributions of Adam Smith, especially the influence of his ideas found in The Wealth of Nations

1. What are we learning?

• Rewrite the LO into a question. • How would

• How will

• How might

• Why would

• Why will

• Why might

Lesson Objective

Ex:

2. Why is it important/making a connection?

During the last quarter of 2015, Apple reported profit of 51.5 billion dollars. Should corporations be required to give a percentage of their profits to services like education and health care? Why or why not?

During the Industrial Revolution, new ideas about the economy were introduced. Capitalism, free market economy, socialism, and communism were all systems introduced.

Word Wall Vocabulary:

• Economy: having to do with money; how people meet their needs

• Law of Supply and Demand: when supply is up, demand is down and vice-versa

• Free Enterprise: freedom to make their own choices in deciding what to buy, where to work, and what to make

• Laissez-faire: literally hands off, meaning no government interference in the economy

• Invisible hand: when each person pursues his or her own interests in a free enterprise system, but an “invisible hand” guides individual actions so that they actually work for the common good

• The Wealth of Nations: book by Adam Smith

• Adam Smith: the first to explain how free enterprise works

What Is Free Enterprise?

•During the Industrial Revolution, new ideas about the economy were developed.

•The free enterprise system was the idea that people had the choice to decide what to buy, where to work, and what to make.

What Is Free Enterprise?

• In a free enterprise system, people:• Own property (homes,

possessions, factories, farms, businesses)

• Invest their time or money in private property (hoping to make a profit)

•Producers often make the same goods. Competitionmeans these producers improve their product or they will fail.

What Is Free Enterprise?

• In a free enterprise system, government interference is limited

•Producers and consumers decide what should be produced, how it should be produced, and who should get it

The Law of Supply and Demand

•The law of supply and demand says that when DEMAND is high and SUPPLY is low, the PRICE is high.

•When demand is low and supply is high, the price is low.

Adam Smith

•The first to explain how free enterprise system works

•The Wealth of Nations

•The law of supply and demand determine prices and production

• Inefficient producers go out of business

Adam Smith

•Only the producers who make the best goods and sell at the best prices will survive

•Each person pursues his or her own interest, and an “invisible hand” guides individual actions that they actually work for the common good

Adam Smith

•https://www.youtube.com/watch?v=-CqMMxsN_7c

Adam Smith

•Smith wanted a “laissez-faire” policy toward the economy, which meant that the government did not interfere

• “Laissez-faire” literally means “hands off”

Guided Practice:

•Get out your copy of the Adam Smith documents

•With your seat partner, decide who will be Partner A and who will be Partner B

•Partner A will read and answer the questions for Document A

•Partner B will read and answer the questions for Document B

•You will share out and complete the “30 Second Expert” sheet

Guided Practice: Document A

1. Every person wants to be richer or happier

2. Because he is making money from his living. Like the last paragraph says, if people did not pay for the meat, the butcher wouldn’t slaughter pigs. He’s slaughtering pigs BECAUSE the people buy the meat, and he gains a profit.

3. Your opinions

Guided Practice: Document B

1. Because it drives improvement. “There is need for improvement in everything.”

2. Mankind produces things because we want luxury items to our own tastes.

3. Your opinions

Re-Learning Opportunity

•What is the economy?

•Who was Adam Smith?

•What is free enterprise?

•What is the invisible hand?

• If you can answer these questions, you may move on to independent practice.

• If you cannot answer these questions, you will complete the re-learning activity.

Independent Practice:

• Get out the “Concept Map” worksheet

• Complete the “Concept Map” for free enterprise

BLANK

SHEET

Re-Learners: Pick up a copy of “Adam Smith. Wealth of Nations, From Chapter

5”. Read the source and answer the vocabulary questions and source

questions. **This is not OUR chapter five, so if you need the book, use Chapter

25 instead.