Commerce

Economics & Business Prices, Markets & Finance

Description

This unit develops students' understanding of key processes and issues concerned with basic economic management and the practicalities in operating a small business. In particular, the economic topic is split into microeconomics and macroeconomics. Microeconomics examines key economic concepts as well as the price (market) mechanism with a specific focus on how demand and supply side factors impact on equilibrium price and quantity traded for specific markets. Macroeconomics examines key indicators of economic performance, trends in Australian economic data and strategies to improve economic performance as well as a comparison between Australia and other economies around the world. The small business topic focuses on students establishing and operating a business. Students apply enterprising behaviours necessary for small business success and are required to prepare a business plan and respond to scenarios that impact the operation of their business venture.

Learning Standards

Economic knowledge and understanding:

• Analyse how goods and services are produced and how markets work.

• Identify possible direct economic consequences of proposed government policies on consumers, producers and the society (in a global economy).

• Understand how demand and supply set prices and the possible influences of changing prices on consumers and producers.

• Understand how key business functions contribute to the success of a small business.

Economic reasoning and interpretation:

• 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.

• Demonstrate an awareness of the impact of values and beliefs on economic issues, and how differences may be identified, negotiated, explained and possibly resolved.

• Analyse the impact of key business functions on the success of a small business.

• Interpretation of financial data and reports to offer advice to business owners.

Assessment

Assessment for this unit includes:

• Price Mechanism and Economic Performance Assignment

• Business Venture Business Plan assignment

• Semester Examination

Pathways

This Unit provides strong support for students in developing skills in consumer and financial literacy and provides a strong pathway to VCE subjects of Economics, Business Management and Accounting. This may lead to tertiary study in the field of Commerce, Business, Finance or Economics.