Grade 12 Standards Overview

This grade features the one-semester economics course included in the 1998 History/Social Science Standards and fulfills the 1985 economics mandate of the California legislature. While typical micro and macroeconomic topics are included, some of the more technical tools of the economist are de-emphasized in favor of economic reasoning, including choice, costs of choices, benefit/cost analysis, incentives and voluntary exchange. Market analysis is described in detail, and price as an indicator of relative scarcity is explained. Students learn how labor markets work and about the evolution and transition of the U.S. labor market. By now students should know that they must bring skills to the labor market and that greater human capital affords greater chances for success.The role of government is analyzed, including the perspective of public choice.

Economic indicators and macroeconomic policy are explained and can be taught with reference to the 11th grade course. Domestic and international trade and exchange rates are investigated.