Beyond the Sound Bites:
Van Hollen Says `Jury Still Out' on Government Shutdown
Cf. http://www.youtube.com/watch?v=DPaLaGQ7ZAM
Budget Plan to Eliminate National Debt: Ryan.
Fed Records Show Borrowing by Some Foreign Banks: Video
Mar 31, 2011 (Bloomberg) -- The Federal Reserve released thousands of pages of secret loan documents under court order, almost three years after Bloomberg LP first requested details of the central bank's unprecedented support to banks during the financial crisis. Erik Schatzker and Margaret Brennan report on Bloomberg Television's "InBusiness." (Source: Bloomberg)
The Chapter 9 Section 1 and Section 2 Quiz Make-ups are today; all Chapter 9 Quizzes and Test will be recorded for the 4th Quarter, not this Quarter.
Standard feature:
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Login:
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Chapter 10: Government Spending
Section 3: Deficits, Surpluses, and the National Debt
balanced budget
crowding-out effect
"pay-as-you-go" provision
line-item veto
Line Item Veto, 2:06
In-class assignment, with a partner, answer the questions.
What is the definition of the line-item veto according to the textbook?
What can be cut with a line-item veto?
Who has the final say on spending according to the Constitution?
How has Obama voted on a similar measure previously?
Bipartisan Bill to Give President Line-Item Veto Authority
Senator Dan Coats (R-Ind.) today spoke at a press conference in support of the Reduce Unnecessary Spending Act (S.102), which would give the president constitutional line-item veto authority to cut wasteful spending.
Introduced by Sens. John McCain (R-Ariz.) and Tom Carper (D-Del.) and supported by 31 senators, the bipartisan bill would allow the president to single out earmarks and other non-entitlement spending in legislation that is sent to the White House. Those individual items would then be sent back to Congress for votes on canceled or reduced funding.
spending cap
entitlement
In-class assignment, with a partner, answer the questions.
John Stossel - Government's Ponzi Scheme, 7:27
What is a bigger Ponzi scheme than Madoff?
Who will pay the entitlements when the baby boomers retire?
What does the graph show?
What can be done?
How does Obamacare add an entitlement?
Why are entitlements unsustainable?
What are Rep. Ryan's suggestions?
10.3 Strategy
7th
In-class assignment, with a partner, list the various attempts by government to reduce the federal deficit and the national debt, then discuss the results.
From Deficits to Debt
Predicting the Deficit
Deficits Add to the Debt
A Growing Public Debt
Public vs. Private Debt
Impact of the National Debt
Transferring Purchasing Power
Reducing Economic Incentives
Crowding Out
Redistributing Income
In-class assignment, with a partner, answer the questions.
Public sector: Distribution of income, 3:56
In the free market system, who gets rewarded?
What type of distribution of income results (equal or unequal)?
What are the two separate views of this result?
What measures can government take to re-distribute income?
What forms do these measures take?
Reducing Deficits and the Debt
Legislative Failures
Raising Revenues
Reducing Spending
10.3 Review
In-class assignment, with a partner, list five ways the national debt can affect the economy.
Profile in Economics
Alice Rivlin
In-class assignment, with a partner, answer the questions.
How to Fund Health Care Reform? - Alice Rivlin, 3:17
Is raising taxes a sufficient solution to fund health care?
What suggestion does Ms. Rivlin make?
Alice M. Rivlin is a Visiting Professor at the Public Policy Institute of Georgetown University and a Senior Fellow in the Economic Studies program at the Brookings Institution. She is the Director of the Greater Washington Research Program at Brookings. Before returning to Brookings, Ms. Rivlin served as Vice Chair of the Federal Reserve Board from 1996 to 1999. She was Director of the White House Office of Management and Budget from 1994 to 1996, and Deputy Director (1993-94). She also chaired the District of Columbia Financial Management Assistance Authority (1998-2001).
Ms. Rivlin was the founding Director of the Congressional Budget Office (1975-1983). She was director of the Economic Studies Program at Brookings (1983-1987). She also served at the Department of Health, Education and Welfare as Assistant Secretary for Planning and Evaluation (1968-69). She was active in the Clinton administration.
Chapter 10 Resources
Chapter 10: Government Spending Multiple Choice Quiz
Chapter 10: Government Spending ePuzzles and Games Column
Chapter 10: Government Spending Vocabulary eFlashcards
Chapter 10: Government Spending In Motion The Federal Budget for Fiscal Year 2007
Chapter 10: Government Spending In Motion State and Local Expenditures
Chapters 8-11
Cf. http://glencoe.mcgraw-hill.com/sites/0078747643/student_view0/unit3/
Chapter 9 Resources
Chapter 9: Sources of Government Revenue
Multiple Choice Quiz
Cf. http://glencoe.mcgraw-hill.com/sites/0078747643/student_view0/unit3/chapter9/self-check_quizzes.html
Ch. 9 Crossword Puzzle
Chapter 9 Flashcards
Chapter 10 Resources
Self-Check Quiz, Crossword, Vocabulary
Cf. http://glencoe.mcgraw-hill.com/sites/0078747643/student_view0/unit3/chapter10/
Preview
Chapter 11 Resources
Cf. http://glencoe.mcgraw-hill.com/sites/0078747643/student_view0/unit3/chapter11/chapter_overviews.html
Chapter 11: Financial Markets
Chapter Overviews
Section 1: Savings and the Financial System
People who save their money make it easier for businesses to spend, which in turn, produces economic growth. The role of saving in a financial system is the process that makes dollars available for others to invest. Financial assets—such as savings accounts, bonds, certificates of deposit (CDs), and many other types are issued by individuals, businesses, and governments. Another important group of financial intermediaries is called non-bank financial institutions—or non-depository institutions that also channel savings to borrowers. Finance companies, life insurance companies, and pension funds are examples of non-bank financial institutions. Finally, investors need to consider the following factors before investing their money: consistency, simplicity, risk-return relationship, and investment objectives.
Section 2: Financial Assets and Their Markets
When people decide to invest their money, they have many options. Some main investments include CDs, bonds, bills, and IRAs, all of which vary in cost, maturity, and risk. Financial assets are grouped into different markets depending on their maturity and liquidity. Financial assets are grouped into four different markets: capital market, money market, primary market, and secondary market.
Section 3: Investing in Equities and Options
Purchasing stocks is another form of investment. Equities, or stocks, are shares of common stocks that represent ownership of corporations. Many stocks are traded on organized exchanges like the New York Stock Exchange, the American Stock Exchange, and the many regional exchanges around the country. Although, the great majority are traded on a computerized marketplace of organized dealers called the Over-the-Counter Market. Investors follow the Dow-Jones Industrial Average (DJIA) or the Standard & Poor's 500 (S&P 500) to track the performance of stocks. Bull markets are strong markets with prices going up; bear markets are bad markets with prices going down. Investors who are not afraid of risk can also invest in futures and options if these suit their investment needs.
Chapter 11: Financial Markets
Student Web Activity
"The New York Stock Exchange"
Introduction
You have already learned that the New York Stock Exchange (NYSE) is the oldest, largest, and most prestigious of the organized stock exchanges in the United States. It is located on Wall Street in New York City and like most other organized exchanges, has certain rules for both its members and the corporations listed on the Exchange. The NYSE lists stocks from over 3,000 companies who must meet stringent requirements related to profitability and size. These requirements virtually guarantee that the companies will be among the largest, most profitable, publicly held companies. In this activity, you will learn more about the NYSE as well as your role as an investor.
Destination Title: The New York Stock Exchange
Note: Clicking on the link above will launch a new browser window.
Need help using your browser for this activity? Click here for tips.
Directions
Start at the New York Stock Exchange's Education Web site.
Scroll down and click on the pdf called A Guide to the NYSE Marketplace.
From here, you will read several chapters from a guide to the Exchange and your role as an investor. Read the articles and answer the following questions.
1. Read Chapter 1, "The NYSE: At the Heart of Global Financial Markets." Why did Wall Street brokers form the Buttonwood Agreement?
2. Continue reading Chapter 1. Describe the role of the New York Stock Exchange as a world leader.
3. Next, scroll down and read Chapter 6, "Putting Your Money to Work." What are reasons that people invest in stocks and bonds?
4. Continue reading Chapter 6. What are examples of types of investments? If you had $500, what type of investment would you select? Why?
Chapter 11 Section 1 Savings and the Financial System
Guide to Reading
Section Preview
Content Vocabulary
saving
savings
certificate of deposit
financial asset
financial system
financial intermediary
nonbank financial institution
finance company
premium
pension
pension fund
risk
In-class assignment, with a partner, fill in the graphic.
11.1 Strategy
Complete the graphic organizer by describing how financial intermediaries channel money.
Reading Strategy
11.1 Review
In-class assignment, with a partner, fill in the graphic.
Use the graphic organizer to describe the nonbank financial intermediaries.
11.2 Reading Strategy
In-class assignment, with a partner, fill in the graphic.
Use the graphic organizer to identify and describe at least four financial assets.
In-class assignment, with a partner, fill in the graphic.
11.2 Review
Use the graphic organizer to identify the characteristics of financial assets.
11.3 Reading Strategy
In-class assignment, with a partner, fill in the graphic.
Use the graphic organizer to describe the different stock markets.
11.3 Review
In-class assignment, with a partner, fill in the graphic.
Use the graphic organizer to evaluate the risks and rewards of investments.
Figure 11.1 Overview of the Financial System
Cf. http://glencoe.com/sites/common_assets/socialstudies/in_motion_08/epp/EPP_p291.swf
Figure 11.2 The Power of Compound Interest
Cf. http://glencoe.com/sites/common_assets/socialstudies/in_motion_08/epp/EPP_p293.swf
Figure 11.7 How Much Money Will You Have at Retirement?
Wisconsin Labor Protests - Noodles, 1:36
Spending, 6:25
The Rules of Good Sportsmanship in Games, Sports and in Life, 9:30
The public domain film, Good Sportsmanship (1950). How sportsmanship enriches daily living: a lesson for teens.
Producer: Coronet Instructional Films
Creative Commons license: Public Domain
Be prepared for "pop" Quizzes on Chapter 9 material.
Email (or hand in hard copy) to gmsmith@shanahan.org.
Monday HW
1. p. 283, #4-6
Tuesday HW
1. p. 283, #7-9
Wednesday HW
1. p. 284, #1-2, p. 286, #1
Thursday HW
1. p. 286, #2-9
Friday HW
1. p. 286, #10
